Decentralized Finance (Defi) -Protocolethena and Tokenization Company Securitize said they will use part of Arbitum’s technical and data availability network Celestia for their real -life activated Ethereum -Compatible Blockchain, with the aim of launching Mainnet in the second quarter of the year.
The Converge chain is on its way to having quick block hours, allowing users to pay gas fees through ethena’s USDE and USDTB, while creating security and protection frames via its convergental network, the two protocols behind the project explained in a technical update shared with Coindesk.
“The idea is that we will soon be on a test network, for the next few weeks because we have already been working on this for a while,” said Carlos Domingo, co -founder and CEO of Securitize, in an exclusive interview with Coindesk. “Then the mainnet: the goal to do it before the end of Q2.”
The exact timing of the public roll-out also depends on third-party integrations, such as Anchorage for Custody Support, Fireblocks for Key Management and other defi-apps that the project collaborated with, Domingo added.
Connecting RWA and DEFI
Converge, revealed last month, aims to connect the rapidly growing tokenized assets in the real world (RWA) with the defi space, build on existing ecosystems around Ethena and Securitize and their multi billions worth of assets.
Ethena has quickly become a defi-power center that spearheads for the yield-bearing stablecoin trend with its “synthetic dollar” of $ 5 billion. Meanwhile, Securitize emits nearly $ 4 billion in tokenized assets of traditional financials such as Apollo and Hamilton Lane and Blackrock’s blockchain-based money market fund Token Buidl. The latter is also the most important backing asset for ethhena’s $ 1.4 billion USDTB stableecoin.
“Converge’s ambitious vision of boarding tens of thousands of billions of institutional capital on chain requires users to have high performance and increased security guarantees,” Guy Young, founder of the development company Ethena Labs, said in a statement.
To achieve this high target, Converge Chain’s performance is dependent on a custom Sequencer for an arbitration -driven blockchain while using Celestia as the data availability layer under it, according to the technical update shared with Coindesk. A sequencer is an important piece of blockchain infrastructure that collects transactions from LAG-2 networks and posts them back to the Layer-1 network.
Data available layers, like Celestia, aim to reduce the download and storage costs of data-intensive blockchain networks. The combination of Conduit’s G2 sequencer as well as the use of Arbitum and Celestia’s tech is believed to “push the limits of what level of flow is possible on EVM-based networks,” the team wrote.
The network will use ethena’s USDE and USDTB as gas packages to pay for transaction costs across the network. Both symbols are designed with a price rooted at $ 1, providing easier accounting for transaction costs, the team wrote.
Converge will also support both permission -free and permitted applications operating side by side. Developers can implement permission-free defi apps freely, while institutional issuers such as Securitize can create permitted environments for compatible assets in the real world.
In addition, the Converge Validator Network (CVN) is assumed to provide the basis for the security of the network by essentially acting as the chain’s security council. CVN will have the ability to interfere in emergencies that when funds are at risk, performing switches to pause user activity if there are serious errors, as well as undergo important government proposals.
To participate in CVN, Validators must deploy ENA, Ethena’s governance. According to the team, CVN will go live shortly after the mainnet is launched.
“Technical breakthroughs on this initiative will drive asymmetrical product results for convergering and thus growth in USDE, USDTB and other Ethena and Securitize products,” Young said.
