Stablecoin developer Ethena Labs and real-world asset (RWA) tokenization firm Securitize are set to launch a new blockchain aimed at both retail and institutional investors looking to tap into DeFi and asset tokenization.
Announced on March 17, the upcoming Converge blockchain is an Ethereum Virtual Machine (EVM)-compatible network designed to provide retail investors with access to “standard DeFi applications” while also offering institutional-grade solutions. The initiative seeks to bridge the gap between traditional finance (TradFi) and decentralized finance (DeFi), enabling institutions to participate in tokenized markets within a regulatory-compliant framework.
Securitize’s Expanding Tokenization Market
Securitize has been a key player in the growing RWA tokenization sector, having minted nearly $2 billion worth of assets across multiple blockchains. One of its most notable contributions is BlackRock’s USD Institutional Digital Liquidity Fund (BUIDL), which surpassed $1 billion in net assets within a year of launch.
With the Converge blockchain, Securitize aims to further solidify its position in the tokenized asset market, offering infrastructure that enables institutional investors to engage with RWAs seamlessly.
Custodial and DeFi Support
Converge will be backed by Anchorage and Copper for custodial services, alongside Securitize’s newest partner, RedStone. This institutional-grade custodial support is expected to enhance security and regulatory compliance for high-value assets on the network.
On the DeFi side, Ethena’s native governance token, ENA, will be available for staking. Additionally, Ethena’s stablecoins—USDe and USDtb—will serve as gas tokens for network transactions, facilitating cost-effective and stable on-chain operations.
Institutional DeFi and the Future of Tokenization
The rise of institutional DeFi, where traditional financial firms integrate regulated DeFi solutions, is gaining momentum as companies seek new yield opportunities and operational efficiencies. Even JPMorgan, once skeptical of blockchain and Bitcoin, has acknowledged that institutional DeFi “has the potential for growth and transformative impact.”
Real-world asset tokenization is a key driver of this trend. McKinsey forecasts that the RWA market could reach $2 trillion by 2030, fueled by increasing institutional adoption.
According to Michael Bucella, co-founder of Neoclassic Capital, RWAs are attracting significant investor interest because they address pricing inefficiencies in both traditional and digital asset markets.
The Expanding RWA Market
Including stablecoins, which represent on-chain fiat assets, the total RWA market has surpassed $240 billion, according to industry data. Even excluding stablecoins, tokenized real-world assets now total nearly $20 billion across more than 90,500 holders, according to RWA.xyz.
With Converge, Ethena Labs and Securitize are positioning themselves at the forefront of this rapidly evolving sector, providing a regulated and scalable infrastructure for institutional investors to engage with tokenized assets and DeFi applications.
