Ethena Labs and Securitize have announced plans to launch Converge, a new Ethereum-compatible blockchain designed to support decentralized finance (DeFi) and tokenized assets. The blockchain, expected to go live in the second quarter of 2025, aims to bridge institutional finance with on-chain markets by offering permissioned and permissionless financial applications.
A Blockchain for Institutional DeFi
Converge is built as an Ethereum Virtual Machine (EVM) blockchain, allowing compatibility with existing Ethereum-based smart contracts and decentralized applications. It will provide a platform for retail DeFi users while incorporating institutional-grade infrastructure to facilitate regulatory compliance. Ethena plans to migrate its existing DeFi ecosystem, which holds nearly $6 billion in assets, onto Converge. Securitize, known for tokenizing real-world assets (RWAs), will issue current and future tokenized assets on the network.
To ensure institutional adoption, Converge will integrate compliance-focused DeFi applications, vetted by Ethena and Securitize through a whitelist system. Meanwhile, traditional retail DeFi applications will remain accessible without restrictions.
Industry Partnerships and Infrastructure
The blockchain will launch with support from multiple industry partners, including Aave Labs’ Horizon project, Pendle, Ethereal, Morpho, and Maple Finance. Custodial services for tokenized assets will be provided by firms such as Anchorage, Copper, Fireblocks, Komainu, and Zodia. Converge will also feature cross-chain interoperability through LayerZero and Wormhole, while RedStone and Pyth will provide Oracle services for data feeds.
To secure the network, Ethena’s governance token, ENA, will be stackable as sENA, with validation handled by traditional financial institutions and centralized exchanges. Additionally, stablecoins USDe and USDtb—developed in partnership between Ethena and Securitize—will serve as gas tokens for transactions on the blockchain.
Filling a Market Gap
Ethena Labs founder Guy Young said Converge will serve as a settlement layer for institutional DeFi and tokenized assets, addressing what he sees as a major market opportunity. Securitize CEO Carlos Domingo highlighted the lack of regulatory clarity as a barrier to institutional DeFi adoption, noting that Converge seeks to bridge that gap by providing compliant infrastructure.
By combining DeFi innovation with regulated tokenization, Ethena, and Securitize aim to create a blockchain that enables financial institutions to participate in on-chain markets with greater confidence.
