Trump's Project Had Invested: ENA Team is Launching a New Altcoin - Koin Bulletin

The rapidly growing decentralized finance (DeFi) platform Ethena announced on December 18 that it will launch a new stablecoin called USDtb to help stabilize the protocol's main stablecoin, USDe, when the crypto markets are in decline.

According to the Ethena team, USDtb aims to keep its price stable at 1 dollar and holds 90% of its reserves in the tokenized money market fund BUIDL issued by BlackRock and Securitize.

Founder of Ethena, Guy Young, made the following statement about the new stablecoin:

"Considering the rapidly increasing demand for different stablecoin options, we saw an opportunity to develop a product that offers users a completely different risk profile from USDe while staying within our reliable ecosystem."

The difference between USDe and USDtb

Ethena's current stablecoin USDe, by opening perpetual swap positions in crypto assets such as Bitcoin (BTC), Ethereum (ETH), and Solana (SOL), and collecting funding rates, offers investors returns of up to 27% annually. However, this strategy can become unprofitable when crypto markets are declining and negative funding rates become permanent.

The new USDtb stablecoin aims to mitigate risks by closing derivative positions behind USDe and redirecting support assets to USDtb during market downturns.

In addition, Ethena aims to enable USDtb to be accepted as collateral in margin trading on centralized exchanges.

Ethena's token ENA received attention from World Liberty Financial (WLFI) associated with Donald Trump last week. WLFI purchased approximately $500,000 worth of ENA tokens on Saturday.