- Ethena Labs unveiled its new Layer-1 blockchain Converge, set to go reside in Q2, in partnership with Securitize.
- Converge is an EVM-compatible blockchain designed particularly for tokenized real-world property (RWA) and digital {dollars}.
- Ethena’s stablecoins, USDe and USDtb will perform as gasoline tokens for performing transactions on Converge.
Ethena Labs – in partnership with Securitize – unveiled its Layer-1 blockchain Converge, an EVM-compatible community designed to bridge conventional finance (TradFi) and decentralized finance (DeFi) with a deal with tokenized real-world property (RWA) and stablecoins.
Ethena Labs prepares to launch RWA-focused blockchain in partnership with Securitize
DeFi protocol Ethena plans to launch Converge, a Layer-1 blockchain constructed — utilizing know-how from information availability layer Celestia and Layer-2 (L2) resolution Arbitrum — in partnership with RWA platform Securitize.
Converge will deal with bridging the hole between RWAs and DeFi by prioritizing quicker transactions and person expertise. The Ethena staff additionally claims that Converge will be EVM-compatible, permitting it to assist DeFi functions in the Ethereum ecosystem.
Ethena’s stablecoins, USDe and USDtb, will perform as gasoline tokens for performing transactions on Converge. Ethena additionally plans to leverage the stablecoins to energy seamless interoperability for on/off ramping RWAs into stables and throughout chains.
The staff seeks to permit customers to onboard property from different chains, together with Ethereum, Solana and Arbitrum, with out a break in liquidity. The blockchain will make the most of a Converge Validator Community (CVN), which will act as its foundational layer of safety.
“On the core of its performance, the CVN will act as a safety council with discretionary authority to intervene in situations that threaten person funds or community integrity,” Ethena Labs’ staff acknowledged in a put up.
Validators will likewise stake Ethena’s governance token, ENA, to take care of the safety of the blockchain by way of staking. Operators and delegating customers will be eligible to earn a portion of protocol transaction charges and potential extra rewards from the Converge ecosystem.
The CVN will be rolled out after the launch of the Converge mainnet and will embody key data akin to the standards for choosing validators and operational procedures. Converge mainnet will go reside in Q2, whereas a developer testnet will launch in a couple of weeks.
“The Converge developer testnet and technical documentation will be rolled out in the approaching weeks, first to infrastructure companions, then later to software builders,” the staff added.
Developments round Converge observe elevated curiosity amongst TradFi establishments looking for to deliver their property on-chain. This entails utilizing DeFi protocols to launch real-world property on-chain, akin to tokenized bonds and stablecoins.
Converge targets merchandise like BlackRock’s cash market fund BUIDL, which launched in 2024 and has grown to $2.3 billion in market capitalization.
Ethena (ENA) is up 2%, buying and selling above $0.278 following the announcement of Converge.
