Eterna USDA has been boosted by Bybit integration, ENA token.

Etena, a decentralized finance (DeFi) protocol built on top of the Ethereum network has been making waves in the crypto space along with USDe, the US dollar.

Following the recent 8 percent increase of the protocol's management token ESA, crypto exchange Bybit may integrate USDe for various business activities, expanding the token's service and bridging the gap between Central Finance (CFI) and DeFi.

TLDR

Bitbit, which integrates the protocol USDe “synthetic dollar” for various trading activities, the Etena management token ESA rose 8 percent. Bybit has added USDe as collateral for perpetual futures trading and has listed BTC and ETH trading pairs with the token. The integration with Baybit makes Ethena a bridge between centralized finance (CeFi) and decentralized finance (DeFi), potentially reducing risk for perpetual traders. Athena has attracted more than $2 billion in deposits through a yield-generating investment offering, but has faced scrutiny over its risks. A crypto researcher predicts a 100x rise for selected altcoins including Athena during the expected altcoin period.

Bybit's move to integrate USD has significant implications for both the exchange and Etna. By adding USDe as a collateral value for perpetual futures trading and comparing BTC and ETH trading pairs against the token, BayBit ​​has effectively increased ETH's leverage and revenue.

Joshua Lim, co-founder of startup distribution company Arbelos, said the merger would make Etena “more of a bridge between SeFi and DeFi.” Lim noted that since the token has a short position, accepting USDe as collateral could reduce risk for perpetual traders.

Athena's rapid growth and diagnosis

Athena has experienced explosive growth since its launch, becoming one of the fastest growing DeFi protocols. Its alternative yield investment offering has attracted over $2 billion in deposits, demonstrating the high demand for alternative yield instruments in the crypto space.

However, the rapid exit of the protocol has also drawn scrutiny from market observers.

USDe, often referred to as a “synthetic dollar” rather than a stable coin, is a structured financial product that uses a combination of staked ETH and short ETH perpetual futures positions to maintain a peg against the US dollar.

Altcoin period and the potential of Ethena

As the crypto market continues to recover, some researchers are predicting the beginning of the altcoin era, during which select altcoins may experience significant growth. Prominent crypto researcher Alex Wassey estimates that roughly 15% of altcoins can generate 10x to 100x gains during this anticipated altcoin boom.

Looks like the Altseason is starting!

Only ~15% of altcoins bring 10-100x this high growth.

Property selection is more important than ever. One slip, and you're out.

– How to position yourself – Spare time – 6 Altcoins that look ready to go????⬇️ pic.twitter.com/axmDK6rTua

– Alex Wasi ???? (@wacy_time1) May 5, 2024

Wasi highlighted Etena as a potential beneficiary of this trend, citing its synthetic dollar protocol as a crypto-native alternative to conventional banking. He pointed out that the next ESA opening event is scheduled for April 2025 and emphasized a normal pattern especially on the weekly chart that precedes the high growth.

Ecosystem expansion and cooperation

Athena Labs, the developer behind the developed Dollar protocol, is actively expanding its ecosystem in collaboration with other DeFi projects.

Recently, the USDeFRAX liquidity pool was confirmed in partnership with Frax Finance, which aims to multiply the production of the FRAX stablecoin, further growing the ecosystem around Athena.

The approval of the Singularity Roadmap proposal paves the way for the creation of the USDeFRAX pool on the decentralized finance (DeFi) stablecoin exchange curve, with a cap of $250 million.

These developments demonstrate Athena's commitment to expanding its reach and strengthening its position in the DeFi landscape.