TL;DR
- Ethena and Derive have integrated the USDe stablecoin as collateral for options trading, facilitating the creation of new products on Derive’s platform.
- As part of the collaboration, a multi-million dollar grant will be awarded to Derive, and sENA holders will be able to receive 5% of the total supply of Derive’s governance token, DRV.
- Derive, a leader in the on-chain options market, has expanded its presence with more than 75% market share in BTC and ETH options.
Ethena has announced a collaboration to integrate the USDe stablecoin as collateral for options trading on Derive’s decentralized platform. This partnership, crucial for the DeFi ecosystem, allows Derive users to use USDe as collateral for options trades, facilitating the creation of new structured products based on the stablecoin.
As part of this agreement, the Ethena Foundation has granted a multi-million dollar grant to Derive, strengthening the relationship between the two entities. The integration of USDe as collateral on Derive will expand financial opportunities for users, as well as allow Derive to access the liquidity of the Ethena ecosystem, which encompasses assets valued in billions of dollars.
This alliance could revolutionize the options market on the blockchain by introducing advanced derivative products, including perpetual options and highly complex structured products.
Benefits for Ethena and Derive
The collaboration also brings benefits to sENA holders, Ethena’s governance and staking token. sENA holders will be able to receive 5% of the total supply of Derive’s governance token, DRV, as part of the alliance. This benefit extends to those involved in Derive’s DAO, who will have the opportunity to participate in the protocol’s decision-making process.
Derive, which previously operated under the name Lyra, has emerged as a leader in the on-chain options market, with more than 75% of the market share in BTC and ETH options. With weekly volume approaching $250 million and over 50,000 active users, Derive continues to expand its presence, driven by its ability to offer advanced on-chain wealth creation tools.
Meanwhile, the growth of USDe has also accelerated thanks to the partnership. With a market capitalization of $4.78 billion, USDe has positioned itself as the fourth-largest stablecoin, while its annual yields, driven by Ethereum staking, are approaching 29%. The alliance will further strengthen the adoption of USDe and provide new avenues for its use in innovative financial products.