FalconX Partners with Ethena on $1 Billion Secured Lending Facility to Expand Institutional Credit
FalconX, a leading institutional digital asset prime brokerage, has partnered with Ethena to launch a $1 billion secured lending facility through an SPV. The initiative leverages capital from the assets backing USDe and provides overcollateralized credit for institutional clients. This collaboration aims to integrate on-chain liquidity into traditional financial markets by offering secure financing solutions across trading strategies, treasury management, and payment systems. The partnership marks one of the largest deployments of on-chain capital in secured lending to date and builds upon an existing relationship between FalconX and Ethena. Loans are collateralized at qualified custodians with FalconX acting as originator, servicer, and manager. Both firms plan to scale this strategy as institutional borrowing demand increases. FalconX emphasizes its role as a bridge between on-chain assets and traditional finance while Ethena highlights the potential for stable returns through secured lending channels.
Topics: crypto-native liquidity digital assets lending facility on-chain capital