Ethena Labs and Securitize have announced the launch of Converge, a blockchain designed for supporting decentralized finance and tokenized assets.
The New Converge Network
The Converge network aims to serve both retail and institutional investors, offering standard DeFi applications alongside financial products compliant with institutional requirements. Converge is built on Ethereum’s Virtual Machine, allowing existing Ethereum-based applications and smart contracts to function without modification. Ethena plans to move its DeFi ecosystem, which holds nearly $6 billion in assets, onto Converge. Securitize, specializing in tokenizing real-world assets, will use the blockchain to issue and manage digital securities.
Decentralized Financial Applications
The network will integrate DeFi applications from partners such as Pendle, Aave Labs, and Maple Finance. It also supports interoperability through LayerZero and Wormhole, ensuring seamless asset transfers across blockchains. Oracle providers like RedStone and Pyth will supply real-time price data. Ethena’s ENA token will play a role in securing the network, and the stablecoins USDe and USDtb will be used for transaction fees.
Goals and Prospects of Converge
Ethena and Securitize see Converge as a solution to regulatory barriers that have kept institutions from fully engaging with DeFi. By combining DeFi’s efficiency with compliance-focused infrastructure, the network aims to provide a bridge between traditional finance and blockchain-based markets.
Converge offers a unique blend of DeFi and traditional finance on one platform, enabling institutional players to interact with tokenized assets safely and compliantly.
