Key info:
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BUIDL is the most important tokenized US Treasury bond fund.
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Ethena already points one other stablecoin, USDe.
Ethena, an organization identified within the cryptocurrency ecosystem for its USDe stablecoin, has introduced the launch of a brand new stablecoin, UStb, in collaboration with Securitize, a real-world asset tokenization platform.
This new stablecoin will likely be backed by BlackRock’s USD Institutional Digital Liquidity Fund (BUIDL), which has turn into the most important tokenized US Treasury bond fund. with greater than USD 522 million in property underneath administration since its launch in March of this 12 months.
UStb is designed to function equally to conventional stablecoins, sustaining a relentless worth of 1 US greenback. UStb reserves will likely be invested in {dollars}, short-term US Treasury payments and repurchase agreements. This strategy differs from its predecessor, USDe, that makes use of hedging methods with derivatives primarily based on cryptoassets reminiscent of bitcoin, ether and solana to keep up its parity with the greenback.
Securitize, which has facilitated over $950 million in tokenized investments, performs an important function on this launch, having beforehand labored with BlackRock and different massive monetary entities reminiscent of Hamilton Lane and KKR.
UStb will likely be a “totally unbiased product” from USDe, providing another danger profile, in response to Ethena. This diversification may assist the agency navigate antagonistic market circumstances, permitting it to shut USDe hedging positions. and reallocate property to UStb if circumstances require it.
The Ethena workforce has expressed that UStb may additionally function a margin assure in centralized exchanges, thus increasing its usefulness past mere worth parity (a attribute that every one stablecoins preserve, as learn in Criptopedia, instructional part of CriptoNoticias ).
This transfer follows a 44% rise within the value of ENA, Ethena’s governance token, over the previous seven days, reaching $0.35 earlier than a 13% improve following the announcement. standing at 0.37 {dollars}.
UStb’s entry into the stablecoin market happens in a context the place massive gamers reminiscent of USD Tether (USDT) and USD Coin (USDC) dominate, nevertheless it additionally aligns with the rising pattern of different massive monetary and technological entities in exploring or launch their very own stablecoins, reminiscent of Société Générale and Revolut, suggesting rising curiosity in diversifying and increasing the stablecoin ecosystem.
This text was created utilizing synthetic intelligence and edited by a human Editor.
