Ethena Labs And Secure unveiled ConvergeA new blockchain that promises to bridge the gap between traditional finances (Trandfi) and Defi. This collaboration aims to bring the range of institutional quality to the Defi space, in addition to standard applications for retail investors, and offers a new dimension of tokenization and financial infrastructure.
Introduction of Converge: The Future of Institutional Defi & Tokenization
Nowadays, Tokenize NYC Securitize & @ethena_labs announced @convergeonchain, a new blockchain of institutional quality built to bridge defi and traditional finances.
Converge Wil:
🔹 Serve as the settlement layer … pic.twitter.com/f6upvbzr3i– Securitize (@securitize) March 17, 2025
What is Converge and how will it work?
Converge is a blockchain built on the Ethereum Virtual Machine (EVM)offering an environment that is designed to facilitate both consent And permissionless Financial applications. With this double approach, Converge can serve as a bridge between traditional financial institutions and the rapidly evolving world of decentralized finances. The blockchain is intended to offer retail investors access to standard Defi applications, while they also meet the needs of institutional investors with a robust, conforming infrastructure.
Planned for one second quarterConverge is expected to offer a unique combination of functions that are aimed at making a diverse range of financial products. Ethena Labs, a Stablecoin developer, and a leader of a leader in Tokenized asset -issueare paramount in this initiative. They are planning to release detailed technical documentation and a developer test network soon.
Institutional capital and tokenized assets
One of the primary focus of Converge is the facilitation of applications of institutional quality, in particular those who deal tokenized assets. Tokenization, the process of changing real assets into digital tokens, gains strength in the financial sector, with Secure Play an important role in this development. The company has already published $ 2 billion In Activa On-Chain, including offers from large settings such as Black rock” ApolloAnd KKR.
Converge will serve as the primary issue low for Secure‘s tokenized assets, open the door to a broader range of financial instruments beyond Treasury products. With this strategic move, Converge aims to serve as a central hub for institutional investors who want to tap into the growing market for Tokenized financial products.
The integration of the platform with Ethena’s Stablecoins–Usde” USDTBAnd IUsde– Making innovative financial products will make possible. By combining these stablecoins with tokenized assets, Converge The aim is to simplify transactions and to offer institutional investors more robust options in the Defi space.
Main features of the Converge Blockchain
Converge works with three main applications that are designed to meet the needs of various market participants:
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Permission -free Defi -Ecosystem: This layer supports Usde-compatible Applications and projects incubated by Ethena Labs. It is intended to give retail investors access to Defi protocols and applications that are compliant and easily accessible.
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Permission applications: An important characteristic of Converge is the possibility to enable traditional financial institutions in a conforming way to communicate with blockchain applications. This function is switched on by IUsde And USDTBwho adhere to Know-Your-Customer (KYC) Regulations. With this layer, the platform can serve as a bridge between Defi and the regulated world of traditional finances.
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New financial products: The third layer focuses on creating innovative products by using Securitize’s tokenized effects. This includes offers such as leverage” Credit wapsAnd stock trade through both Spot and eternal swaps. This function opens a world of possibilities for institutional investors looking for exposure to blockchain-based financial products.
Defi and Institutional Cooperation: The Future of Finance
Although speculative Defi applications have driven many of the early growth of the industry, Ethena Labs And Secure believe that the future of blockchain is in Institutional approval. Both companies have acknowledged that Defi’s potential goes much further than speculation. The enormous opportunity is to create financial products that appeal to traditional financial institutions and large -scale investors.
Converge will integrate with major Defi -Protocols pretend Aave” Shuttle” Maple FinanceAnd Morpho LabsThe aim of offering institutional players the necessary tools to communicate with the decentralized economy. Converge will also integrate infrastructure providers such as Low for Cross-chain interoperability” PYTH NETWORK for price oracles, and Worm for bridging assets.
Moreover, the platform will have support from preservators such as Anchorage” CopperAnd Fire blocks for Safe and efficient for institutional use.
The role of preservators and validators
Charges play a crucial role in the converge ecosystem. Because the blockchain is intended to meet institutional investors, robust storage services are essential for the management of large quantities of tokenized assets. Secure works together with leading managers, including RedstoneTo guarantee the security and compliance with the platform. These preservators will help protect Converge’s Activa, ensuring that institutional investors have the confidence to deal with the blockchain.
Next to administrators, Institutional Validators will secure the network by turning off Ena -Tokens” Ethena Labs’ Native governance token. With this set -up, the Converge -Blockchain can maintain a high level of security and decentralization and at the same time suffice the needs of institutional users.
Worth mentioning, Ethena Labs And Secure Have acknowledged that the future of finance lies in combining the best elements of both the traditional financial system and the decentralized economy. Of ConvergeThey want to create a space where the two worlds can communicate seamlessly and offer opportunities for investors of all species.
