$1 Billion Facility Connects On-Chain Liquidity and Institutional Credit Demand

FalconX, an institutional digital asset prime brokerage, has partnered with Ethena, the company behind $USDe, to launch a $1 billion secured lending facility.

The facility will use capital from assets backing $USDe to provide overcollateralized credit to institutional borrowers. The financing is structured through a special purpose vehicle, where FalconX will act as the originator, servicer, and collateral manager, while the loans will be secured by collateral held with qualified custodians.

The companies said the structure will connect on-chain liquidity with demand for institutional credit. For Ethena, the facility creates a new source of returns beyond its traditional crypto strategies.