- Converge blockchain, which is set to launch in Q2 2025, combines DeFi with institutional finance.
- Ethena’s USDe and USDtb stablecoins will power gas fees on the Converge network.
- Converge leverages Arbitrum and Celestia for high performance and low latency.
Ethena and Securitize revealed their upcoming launch of Converge blockchain, which will bridge traditional finance and decentralized finance (DeFi). The mainnet launch of Converge is scheduled to occur by the end of Q2 2025 and will support permissionless DeFi applications and permissioned institutional products.
The combination of Arbitrum with Celestia’s data availability network enables Converge to execute transactions fast and process data efficiently.
Converge’s innovation is enabled through its connection to Ethena’s USDe and USDtb stablecoins for paying gas fees, thereby reducing payment volatility while streamlining accounting procedures. The platform has been designed to attract major institutional players in DeFi through its secure and efficient features.
Technological Framework and Security
Converge blockchain will maximize its transaction speed while minimizing latency and associated costs by implementing Arbitrum sequencer technology. The incorporation of Celestia’s data availability layer into Converge enables the network to manage large volumes of data without excessive storage expenses. Arbitrum and Celestia working together will extend the boundaries of transaction performance available on Ethereum-compatible networks.
The Converge Validator Network (CVN) will ensure the security of the blockchain by acting as a governance council. Participating validators in the CVN must deposit their Ethena ENA tokens as stake while using these tokens for network governance.
The CVN will allow activities to be paused in emergencies or for major proposals, which ensures the network remains secure and compliant with regulatory requirements. The inclusion of this security measure sets Converge apart as a platform suitable for institutional use.
Connecting DeFi and Traditional Finance
The integration of real-world assets (RWA) with DeFi represents a fundamental growth step for the financial sector. Ethena leads the DeFi sector through USDe synthetic dollar, which holds $5 billion in assets, while Securitize continues to provide tokenization services to major institutions, including BlackRock and Apollo.
The integration of Ethena’s and Securitize’s infrastructure enables Converge to create a smooth connection between institutional funding and decentralized financial protocols. The blockchain platform will let institutional issuers and individual developers deploy various financial applications, thus becoming a multi-purpose platform for crypto use cases.