Just-In: Deribit To Integrate Ethena USDe As Crypto Margin Collateral

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As a seasoned analyst with over two decades of experience in the financial markets, I have seen numerous partnerships and integrations reshape the industry landscape. The recent announcement by Deribit to integrate Ethena’s USDe as margin collateral is no exception.

On Friday, Deribit – the leading crypto derivatives exchange – announced plans to incorporate Ethena’s synthetic dollar, USDe, as a form of margin collateral. This integration allows users to earn rewards by holding USDe and use it as collateral for derivatives trading in a shared pool across multiple assets.

Ethena and Deribit Partners to Launch USDe as Rewarding Margin Collateral

Deribit, a prominent platform for crypto options and futures trading, intends to adopt Ethena’s USDe digital currency as a form of margin collateral. The exchange has disclosed its intention to incorporate USDe into its shared collateral pool starting in early January, though it is still pending approval from regulatory bodies.

Ethena Labs announced their eagerness about the future addition of USDe, which will serve as a method for rewarding margin collateral on Deribit.

As a crypto investor, I’m excited to share that I can earn rewards simply by holding USDe, which also serves as margin collateral for derivatives in a cross-collateral pool. At the moment, USDe is available as margin collateral on platforms like Bybit, Bitget, and Gate crypto exchanges. I can strategically incorporate USDe into my single or multi-exchange derivatives strategies, all while earning rewards by holding this synthetic dollar.

Guy Young, the founder of Ethena Labs, explained that the incorporation of USDe into the cross-collateral pool opens up entirely novel use cases for structured products that were not feasible on Centralized Exchanges when using only traditional stablecoins as collateral.

Anticipating that this platform could emerge as a key location for applying US dollar-pegged stablecoin (USDe) use cases, given Deribit controls approximately 85% of the market share in the options sector. Furthermore, he envisions that the integration of USDe on the derivatives exchange will draw both traditional finance (TradFi) and crypto-native trading companies.

ENA Price Rockets 20%

With news about Deribit’s USDe integration, the price of ENA has surged over 20% within the past day. At present, it is being traded at $0.62, with its 24-hour low and high being $0.516 and $0.620 respectively. Moreover, there’s been a significant increase of 78% in trading volume over the last 24 hours, suggesting heightened enthusiasm among traders.

Last month, Ethena proposed adding Solana and its liquid staked variants (BNSOL and bbSOL) as reserve assets for backing USDe. Recently, the company integrated sUSDe into Aave to enable billions of borrowing and APY of up to 30%.

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2024-11-22 15:17