Ethena Raises $6,5 M in Seed Funding and Invites Testnet Applicants
Lisbon-based startup Ethena has made waves in the world of DeFi with its groundbreaking project to develop an “internet bond” and a new Ethereum-based stablecoin. The company recently secured $6 million in Seed funding.
The funding round was led by Dragonfly, and supported by Arthur Hayes, the founder of BitMEX. Notable participants included major crypto derivatives exchanges such as Deribit, Bybit, OKX, Gemini, and Huobi, along with several venture capital and trading firms.
The startup has completed two rounds of auditing and security testing to ensure a seamless and risk-free user experience. As a result, Ethena is gearing up to launch $USDe in Q3 2023, as it transitions out of its testnet phase.
To ensure a robust launch, the startup is currently inviting testnet applicants and market makers to join their journey. Interested applicants can already apply for the whitelist to gain access to the testnet by filling in this form.
Ethena aims to provide a crypto-native alternative to traditional banking infrastructure, offering a censorship-resistant, scalable, and stable solution for managing digital assets. At the core of Ethena's offering is the stablecoin called USDe.
USDe, as the name suggests, will be a dollar-denominated stablecoin designed to be fully collateralized and transparently operated on the Ethereum blockchain. The stability of USDe will be ensured through a sophisticated delta-hedging mechanism that leverages staked Ethereum collateral. This approach will eliminate the need for reliance on conventional banking systems. Users will retain full custody of USDe, allowing for seamless connectivity to major liquidity venues, managing basis risk, and optimizing funding.
Ethena has also developed the 'Internet Bond,' an on-chain bond built upon the USDe stablecoin. This bond will integrate yield derived from staked Ethereum and basis points in perpetual swap and futures markets. The result is a highly accessible dollar-denominated savings instrument, empowering users worldwide with unique financial opportunities.
