- Ethena Labs announced the launch of its new stablecoin USDtb, backed by BlackRock’s BUIDL token.
- Ethena’s Risk Committee proposed adding USDtb as a backing asset for the USDe stablecoin.
- ENA could see a new all-time high after rallying more than 120% in the past 30 days.
Ethena Labs announced the launch of its USDtb stablecoin on Monday, which is backed by BlackRock’s BUIDL fund in partnership with Securitize. ENA witnessed quick gains following the announcement as the token eyes a new all-time high following its more than 120% surge in the past month.
ENA rallies briefly as USDtb goes live on various blockchains
Ethena Labs revealed the launch of the much anticipated USDtb stablecoin on Monday, which it claims may function as an alternative to USDe for margin collateral on centralized exchanges affiliated with Ethena.
The USDtb stablecoin will maintain a price peg to the US Dollar on a 1:1 basis and is backed by BlackRock’s USD Institutional Digital Liquidity Fund (BUIDL) in partnership with Securitize.
According to Ethena Labs, BUIDL will hold 90% of USDtb’s overall reserves, the highest allocation of any stablecoin. The stablecoin will also function much like established stablecoins in the market, such as USDT and USDC. Users can send USDtb across the multiple chains on which it will be rolled out.
Ethena Labs claims that USDtb is entirely different from its previously established USDe synthetic stablecoin as it allegedly offers users and partners a fresh alternative to the risks accompanying USDe.Â
Due to its reported secure nature, Ethena’s Risk Committee submitted a proposal to integrate USDtb as a backing asset for USDe.Â
It claims such a move will help Ethena hedge against negative funding rates, thereby reducing risks attached to USDe.
ENA saw slight gains following the announcement as it continued its quest toward a new all-time high.
The token witnessed massive gains over the past month, rising over 120% to its current price of $1.20, just short of its $1.52 ATH established in April.
