USDe Token Holders in EU Given 42-Day Redemption Window as Ethena GmbH Exits Market

German regulator BaFin has approved a 42-day redemption plan for USDe token holders linked to Ethena GmbH, marking the end of a regulatory standoff that began in March. The window, open from June 25 to August 6, 2025, allows EU and EEA-based holders to file claims directly with Ethena GmbH under BaFin supervision.

The move follows Ethena GmbH's failure to comply with MiCA regulations, forcing its exit from the EU market. Over 5.6 billion USDe tokens remain in circulation, primarily outside EU jurisdiction. Redemptions require strict KYC/AML checks, with payouts in USDC processed within 48 hours of token receipt.

Post-deadline claims must route through Ethena's offshore entity in the British Virgin Islands, removing them from EU regulatory oversight. The wind-down reflects growing tensions between decentralized finance projects and evolving cryptocurrency regulations in Europe.