According to Odaily Planet Daily, Tim Copeland, editor-in-chief of The Block, said in the article that Ethena is a complex project that is both like a high-yield stablecoin and a combination of a structured product and a stablecoin. The potential difference may be reflected in whether the token is pledged. Ethena founder Guy Young said in a conversation in February that the worst case scenario facing the project is counterparty risk, that is, the risk that funds stored with institutional-grade custodians such as Fireblocks and Copper may be lost for some reason.
He expressed his willingness to discuss issues that may arise. Ethena is much more transparent and open about its potential risks. For example, it lists seven major risks facing the project in detail on its FAQ page and explores each issue in detail, explaining how to monitor certain risks. Copeland concluded that although the issue of Ethena's risk profile is very complex, at least this time, the risks are discussed in an open and transparent manner.
