Ethena Secures $100 Million in Funding from Major Venture Capital Firms
Ethena, a decentralized stablecoin protocol, has secured $100 million in funding from venture capital firms and financial institutions. The investment round included participation from Dragonfly Capital Partners, Polychain Capital LP, Pantera Capital Management LP, Franklin Templeton, and F-Prime Capital.
Funding Details
- Funds raised through a private sale of the native token ENA at $0.4
- ENA's market price peaked at $1.30 in mid-December but fell to $0.41 by January, a drop of 51.48%
- Funding will support the development of a new token for traditional financial institutions
- New token will have characteristics similar to existing offerings, including the flagship stablecoin USDe
USDe Overview
- USDe is marketed as a synthetic dollar with a 9% yield
- Its reserves consist of other stablecoins like Tether USD and Circle’s USDC
- Ethena plans to launch iUSDe, targeting regulated stablecoin requirements for financial institutions
iUSDe Launch Priorities
- iUSDe will include transfer restrictions for compliance
- Focus on partnerships with financial distributors for integration
- Aim to provide a bridge for traditional finance into digital assets
Strategic Alliance
Ethena has formed a partnership with World Liberty Financial (WFLI), integrating its staked USDe (sUSDe) with WFLI's Aave instance, allowing users to earn rewards in both sUSDe and WFLI's native token.