FalconX, an institutional digital asset prime brokerage, has partnered with Ethena, a digital asset company behind the $USDe, to launch a $1 billion secured lending facility. The facility will use capital from assets backing $USDe to provide overcollateralized credit to institutional borrowers.
The financing is structured through a special purpose vehicle. FalconX will act as the originator, servicer, and collateral manager, while the loans will be secured by collateral held with qualified custodians. The companies said the structure will connect on-chain liquidity with demand for institutional credit.
For Ethena, the facility creates a new source of returns beyond its traditional crypto strategies. The company will provide capital from $USDe’s backing assets, while FalconX will manage lending to institutional clients.
The firms described the agreement as one of the largest deployments of on-chain capital into secured institutional credit. They expect the facility to expand as demand for institutional borrowing grows.
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