Tech-focused enterprise capital agency YZi Labs has elevated its stake in Ethena, the stablecoin issuer behind USDe, which can help the digital greenback’s adoption throughout decentralized and centralized platforms.
The funding will help Ethena USDe’s (USDe) enlargement on BNB Chain whereas enabling Ethena to proceed constructing its USDtb stablecoin and an institutional settlement layer, “Converge,” Changpeng Zhao’s YZi Labs said in a press release on Friday.
USDtb is backed by short-duration treasury property, together with BlackRock’s BUIDL, whereas Converge is an Ethereum Digital Machine-compatible chain targeted on tokenizing real-world property.
The transfer helps YZi’s mission to “assist open, scalable digital greenback infrastructures that may function a spine of effectivity and liquidity for your complete monetary ecosystem.”
Ethena Labs CEO Man Younger added: “The holy grail of digital greenback distribution has at all times been embedding steady, yield-bearing property straight into the core of the crypto financial system.
“With USDe now scaling throughout exchanges, DeFi protocols, and international consumer bases, that imaginative and prescient is turning into a actuality.”
The stablecoin adoption comes because the US Treasury estimated in April that the $295 billion market would boom to $2 trillion by 2028. Momentum was boosted in July by US President Trump’s signing of the GENIUS Act, seen as some of the complete stablecoin legal guidelines up to now.
USDe use circumstances to increase on BNB Chain
YZi, previously Binance Labs, first invested in Ethena by its Season 6 Incubation Program in February 2024, earlier than USDe’s public launch. USDe’s artificial greenback is backed primarily by cryptocurrencies and is stabilized by a delta-neutral hedging technique that retains its worth pegged to $1.
USDe’s enlargement on BNB Chain will construct on its April deployment with new cash markets, protocol integrations, and ecosystem partnerships already underway, YZi stated.
Associated: ASIC eases licensing rules for stablecoin distributors in Australia
Since launching, USDe has soared to a $14 billion market cap — trailing solely Tether (USDT) and Circle’s USDC (USDC) at $171.5 billion and $73.9 billion, respectively, CoinGecko data exhibits. Elevated adoption of USDe may enable it to slice into USDT and USDC’s dominance and broaden its use throughout the crypto ecosystem.
USDe might even see adoption on Hyperliquid competitor
It comes as YZi — which manages $10 billion price of property unfold throughout crypto, AI and healthcare — just lately promoted Hyperliquid rival Aster — a brand new decentralized perpetuals trade platform that’s set to combine USDe as a part of its ecosystem.
Ethena has additionally received funding assist from trillion-dollar asset management firms Constancy and Franklin Templeton, whereas crypto VC agency DragonFly additionally backs the stablecoin issuer.
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