Ethena, developer of the artificial stablecoin USDe, has raised $100 million to finance an identical token focused at conventional monetary (TradFi) establishments, Bloomberg reported on Monday.
The funding spherical was accomplished in December, with Franklin Templeton and Constancy Investments-affiliated F-Prime Capital among the many backers, the report added, citing an individual acquainted with the matter.
Founder Man Younger mentioned in a weblog put up in January that Ethena has plans to roll out iUSDe, a token tailor-made to regulated monetary establishments.
Often called an artificial stablecoin, USDe differs from different tokens in that it’s not backed 1:1 by fiat belongings. As an alternative, it maintains its peg by collateralizing stablecoins and taking futures positions with massive open curiosity.
USDe’s market cap has jumped to round $6 billion this month, turning into the third largest stablecoin behind Tether’s USDT and Circle’s USDC, that are value $142 billion and $57 billion respectively.
Some observers see USDe as a possible secure heaven during times of larger volatility within the wider crypto market. Arthur Hayes, chief funding officer of Maelstrom, has mentioned the digital asset fund has raised its publicity to USDe “to report ranges.”
“We might be positioned with copious quantities of dry powder prepared to purchase the dip on Bitcoin,” Hayes, who’s an investor in and an advisor to Ethena, added.
Ethena didn’t instantly reply to CoinDesk’s request for touch upon the $100 million funding spherical.
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