Ethena Expands USDe Collateral Beyond Crypto with Binance Tokenized Stocks

Ethena, the decentralized finance protocol behind the USDe synthetic dollar, has taken a significant step in expanding its collateral pool by incorporating tokenized equities. The move marks the first time the strategy has moved beyond cryptocurrency markets.

The new allocation pairs Binance's bStocks with short positions in the exchange's equity perpetual futures, allowing Ethena to collect funding payments from leveraged long traders while hedging against stock price movements.

As of August, the tokenized stock market had reached approximately $2.7 billion, with Binance's bStocks accounting for more than $600 million of that total, making it the second-largest tokenized stock issuer in the tracked dataset behind Ondo Finance.