(Bloomberg)-Etheina, an encryption project, collected its vertebus in dollars, which was wandering, to become one of the largest of its kind since its launch a year ago, raised $ 100 million to help institutions.
Most of them read from Bloomberg
The donation collection, which was previously not reported, was completed in December, and directed investors including Franklin Timelton and F-PRIME CAPITAL, a Fidelity Investment Capital Company, according to a person with knowledge.
Ethena runs encrypted currencies: Ena, a governance symbol called the owners, an opinion on the project; The USDE, which is marketed as “artificial dollars” and currently provides 9 % revenue. Usde trading swollen to nearly $ 6 billion, as prosperous encryption prices allowed us to provide returns of 60 %.
The person, who asked not to know the discussion of private information, said. The price of Ena has risen to about $ 1.30 in mid -December, but it has since decreased almost 70 %, according to Coingecko data.
Beyond Big-Name Financial supporters, the project created contacts in the American power halls. World Liberty Financial, a encryption project promoted by US President Donald Trump and his sons, said in December he had entered into a strategic partnership with Ethaina Labz, the start of the project. Trump carried out a campaign of encryption, and launched his Mimikoin before returning to the White House.
Ethena Labs refused to comment on selling the distinctive code. People who have knowledge of the issue said that Dragonfly Capital Partners, Polychain Capital LP and Pantera Capital Management LP, three of the largest encrypted investment capital boxes participated in the financing round.
A F-PRIME spokesman rejected the comment. Franklin Timbalon did not respond to the comment. The dragonflies, Pantira and Polychain refused to comment.
The mechanism of generating the return
The USDE code is supported by digital asset reserves, including Stablecoins such as USDT and USDC, to a large extent the largest of these cryptocurrencies. This is a decisive difference from USDT and USDC, which is mainly supported by very safe liquid origins such as US Treasury Bills. Crypto Data Trackors Coingecko and Coinmarketcap Usde as Stablecoin.
The layers above that are more complicated by financial engineering that aims to generate the return of the holders, which is not done by the biggest USDE competitors.
Ethena uses a copy of the foundation, which takes advantage of price differences in instant markets and futures, to generate the return. When the encryption markets, the high financing rates-the benefits that the traders pay the climbers to take advantage of the stakes of the future contracts-the Ethena mechanism depends on it can translate into high-sky returns.
However, this strategy can be tested in the bear market.
(To learn more about how Usde works, read: “Distinguished Hedge Box” in cryptocurrencies with 37 % return)
“The risks arise for Ethena when the cryptocurrency markets suffer from sharp price corrections and the financing rate becomes negative as traders filter their long positions and others want to open short sites,” Cryptoquant. “In this case, traders with short open jobs (Ethaina case) must pay for long -standing open situations.”
Such a development can press the backup box that Ethana is supporting to support Stablecoin, according to the Cryptoquant report.
Institutional focus
In a blog post in January, Ethaina Labz Jay Young founder said that the project will soon be launched, a product specifically designed for organized financial institutions.
This distinctive symbol will come with certain transportation restrictions to allow traditional financial companies to use it. Yong said that the “single focus” of the first quarter of the year is to work with financial distribution partners to enable its customers to reach Iusde. Young wrote that the new symbol “will enable traditional financing to effectively enter the product without having to touch the encryption bars.”
Stablecoins has become a major bridge between the crystals of encryption – as it has been used for years – and traditional financing, as companies such as Standard Charted PLC make invasions in the asset category. UTETR of UTETR of the origins of more than $ 140 billion of dollars from the dollar -run by Canor Fitzgerald, its Founder Howard Lootnick is the Minister of Trade in Trump.
In January, Trump signed an executive to protect Greenback, “including by procedures to enhance the development and growth of Stablecoins from the legitimate and legitimate dollar around the world,” Trump signed an executive to protect Greenback.
