A leading cryptocurrency exchange, Bybit, has revealed its plans to incorporate Ethena Labs' synthetic dollar, USDe, as a collateral asset on its trading platform. In addition to this, Bybit will introduce USDe in spot trading pairs alongside Bitcoin (BTC) and Ethereum (ETH).

The collaboration between Ethena Labs and Bybit will allow users to utilize USDe as collateral across all assets for perpetual futures trading on Bybit's UTA. This partnership is anticipated to provide users with increased returns and optimize capital efficiency. Moreover, trading pairs of USDe against Bitcoin and Ethereum will be available in Bybit's spot market. USDe will also be integrated into Bybit's Earn platform, offering users the opportunity to invest their synthetic dollars in projects accessible through Bybit Launchpool.

According to Guy Young, the CEO and founder of Ethena Labs, the alliance with Bybit represents a pivotal moment in expanding the utilization of USDe. Bybit's inclusion of USDe as a collateral asset, being a prominent derivatives platform in the crypto sector, sets the stage for USDe's future growth. This partnership challenges the dominance of existing stablecoins by introducing a product tailored for the crypto community.

USDe, acclaimed as the "first scalable synthetic dollar," is a stablecoin developed by Ethena Labs. It aims to peg the price of the targeted asset to the US dollar at a 1:1 ratio. Notably, Ethena Labs distributed its main network asset, Ethena (ENA), to eligible users through an AirDrop last month and initiated the backing of USDe with BTC as a reserve asset.