YZi Labs Deepens Investment in Ethena Labs as USDe Adoption Accelerates
The post YZi Labs Deepens Investment in Ethena Labs as USDe Adoption Accelerates appeared on BitcoinEthereumNews.com.
Key highlights: YZi Labs, the family office of Binance co-founders CZ and Yi He, has increased its stake in Ethena Labs, the issuer of USDe. Ethena is expanding its ecosystem on BNB Chain, launching products like USDtb and Converge to bridge traditional and crypto finance. USDe has become the third-largest dollar-pegged crypto asset, reaching a $14 billion market cap less than two years after launch. Ethena’s rapid growth and YZi Labs’ continued backing YZi Labs, the $10 billion family office founded by Binance co-founders Changpeng “CZ” Zhao and Yi He, has expanded its position in Ethena Labs, the crypto protocol behind the fast-growing synthetic dollar USDe. The investment signals continued support for Ethena as it scales its stablecoin infrastructure and on-chain finance products. https://t.co/AfzsqtAPwb — YZi Labs (@yzilabs) September 19, 2025 Launched in early 2024, Ethena’s USDe has rapidly gained traction, surpassing $14 billion in market capitalization and becoming the third-largest U.S. dollar-denominated crypto asset. USDe is underpinned by a delta-neutral strategy that uses major cryptocurrencies like Bitcoin, Ethereum, and Solana paired with short perpetual futures positions to maintain its dollar peg. YZi Labs first backed Ethena during its “Incubation Season 6” program in early 2024, ahead of USDe’s public launch. The latest investment comes as Ethena ramps up its expansion on BNB Chain, including new protocol integrations, money markets, and ecosystem partnerships. “Since our investment team first met Guy [Young] in late 2023, Ethena has become the category definer for yield-bearing synthetic dollars,” said Dana Hou, investment partner at YZi Labs. Product development and strategic vision The increased stake is also aimed at propelling Ethena’s development of new products like USDtb, a fiat-backed stablecoin supported by short-duration treasury assets including BlackRock’s BUIDL fund, and Converge, an EVM-compatible institutional settlement layer co-developed with Securitize and BlackRock-affiliated partners. These initiatives target…
Filed under: News - @ September 24, 2025 1:27 am