Yigit Taha OZTURK 
A significant development has taken place in the world of crypto and finance. Securitize and Ethena have officially announced Converge, a new blockchain network designed specifically for institutional investors. Converge, which is compatible with Ethereum, aims to bridge the gap between decentralized finance (DeFi) and traditional finance (TradFi). The network focuses on the tokenization of real world assets (RWAs) and aims to provide institutional investors with a more secure and efficient way to leverage blockchain technology.
Ethereum Compatibility and High Performance
Converge is fully compatible with the Ethereum Virtual Machine (EVM), allowing it to seamlessly run Ethereum-based smart contracts and decentralized applications (dApps). This ensures that existing DeFi protocols and tools can operate on the Converge network without any need for modification.
The network’s initial partners include prominent DeFi projects such as Pendle, Avara (the parent company of Aave Labs), Ethereal, Morpho, and Maple Finance. Custody services will be provided by industry leaders Copper, Fireblocks, Komainu, and Zodia. Interoperability will be supported through LayerZero and Wormhole, while RedStone will handle oracle services.
Ethena and Securitize Make a Major Move
Ethena is preparing to migrate its $6 billion DeFi ecosystem to the Converge network. The company will also offer its yield-bearing USDe token and BUIDL-backed USDtb stablecoin on the platform. At the same time, Securitize will bring its tokenized real world assets to Converge, including BlackRock’s BUIDL token and the newly issued Apollo credit fund token.
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Ethena’s native governance token, ENA, will serve as a stakeable asset on the network through sENA, securing the blockchain with a permissioned validator set operated by traditional financial institutions and centralized exchanges. In addition, both USDe and USDtb tokens will function as gas tokens for the Converge network.
New Opportunities for Institutional Investors
Securitize CEO Carlos Domingo stated, “Tokenization by itself is just putting securities on another ledger. But when combined with DeFi innovations, tokenization can unlock massive opportunities.” Ethena Founder Guy Young added that Converge will enable traditional assets to be brought on-chain, creating custom money markets and allowing for the trading of assets that currently do not exist on-chain.
Designed for institutional players, Converge offers a public open network wrapped in a KYC protocol that verifies users’ identities beyond simply whitelisting wallets. This structure ensures a secure and compliant DeFi environment for investors dealing with regulated financial instruments.
Will Converge Become the Future Blockchain Platform?
Converge is expected to become one of the largest platforms that unites traditional and decentralized finance in the coming years. It aims to serve as a critical bridge that allows institutional investors to step into the DeFi world with confidence.
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