With the new system, traders will be able to use their capital more efficiently and generate yield on their base assets while trading with Bybit's Unified Trading Account.

This year, Ethena has taken the cryptocurrency world by storm. With its tokenized yield-generating investment offering, which has drawn over $2 billion in deposits, it has become one of the fastest growing DeFi protocols. However, market observers still scarred by the bear market's crypto collapses have been closely examining Ethena's risks.

According to Hao Yang, head of financial products at Bybit, "our decision to integrate Ethena Labs' synthetic dollar, USDe, as a collateral asset on Bybit is a game-changer." Ethena is positioning USDe as a rival to USDT, which grew to be the industry leader by controlling the trading pair market on cryptocurrency exchanges. As a result, there is now a dynamic duality between crypto-native solutions like USDe and TradFi-backed stablecoins like USDT.

Yang went on, "We are responding to the market for more flexible financial tools that enable our 28 million users to manage and grow their portfolios in creative ways by enabling USDe for use in Bybit Futures and Earn.""Our users can now take advantage of even more flexibility in managing their assets, thanks to the combination of the distinct risk profiles of USDT and USDe."

Through their Unified Trading Account, Bybit users can use the new product across derivatives and access USDe through the Bybit Spot platform.