Introducing Ethena Labs’ USDtb Stablecoin
Ethena Labs recently announced the launch of its USDtb stablecoin, which is backed by BlackRock’s tokenized fund, USD Institutional Digital Liquidity Fund (BUIDL), for 90% of its value.
Partnership with Securitize
The collaboration between Ethena Labs and BlackRock’s BUIDL fund was facilitated by Securitize, as announced on Dec. 16.
Independent Operation
USDtb will function independently from Ethena’s existing stablecoin, USDe, offering users and exchange partners a stablecoin with a unique risk profile. The Risk Committee at Ethena has also approved USDtb as a potential asset for backing USDe, enhancing its resilience in volatile market conditions.
Flexibility and Risk Mitigation
The design of USDtb aims to provide flexibility and risk mitigation within Ethena’s ecosystem and beyond. Spark’s Tokenization Grand Prix, with incentives directed towards USDtb, is expected to boost tokenization efforts.
Multi-chain Support
USDtb is inherently multichain, built as LayerZero’s Omnichain Fungible Token (OFT). Users can transfer USDtb across various blockchains, including Ethereum, Base, Solana, and Arbitrum.
Liquidity Support
USDtb’s liquidity will be backed by leading market makers such as Jump, Cumberland, Wintermute, Amber, GSR, and SCB Limited.
Market Impact
Ethena Labs’ introduction of USDtb marks a significant advancement in stablecoins, bridging traditional finance stability with blockchain efficiency. BlackRock’s BUIDL fund currently boasts a market cap of almost $562 million.
Expanding DeFi Opportunities
In addition to Ethena Labs, other DeFi protocols are exploring opportunities with BlackRock’s BUIDL fund. Aave proposed a GHO Stability Module (GSM) based on the tokenized fund to support its stablecoin, GHO. BlackRock is also looking to expand its BUIDL offering for traditional finance giants by using tokenized fund shares as collateral for derivatives trading.
