In a bold move toward unifying decentralized finance (DeFi) with traditional finance (TradFi), Ethena Labs, the creator of the synthetic stablecoin USDe, and financial tech firm Securitize have revealed their preliminary roadmap for a new blockchain initiative named Converge. Announced via Cointelegraph, the project is poised to become a critical infrastructure layer for the next generation of digital finance — one where real-world assets (RWAs) and permissionless DeFi applications coexist seamlessly.
Converge: High-Performance Meets Hybrid Finance
The Converge network is engineered for scale. With a native block time of just 100 milliseconds, and ambitions to reduce that even further to 50 milliseconds by Q4 2025, the network aims to deliver ultra-fast transaction finality. According to the roadmap, testnet deployment is expected in the coming weeks, with the mainnet launch slated for later in 2025.
On the technical front, Converge is aiming for a throughput benchmark of one gigagas — meaning it intends to process billions of gas units per second. If achieved, this would make it one of the fastest and most scalable networks built to date, capable of supporting complex financial applications and tokenized real-world instruments.
Bridging Two Financial Worlds
What makes Converge stand out is its dual-purpose architecture. It’s being built to accommodate both permissioned applications — such as tokenized bonds, equities, or funds operated by regulated financial entities — and permissionless DeFi protocols that embody the open-source ethos of blockchain.
This strategic convergence is timely. As the lines blur between crypto-native systems and traditional finance, projects like Converge may offer the infrastructure necessary to support the evolving needs of both sectors.
However, this blending of TradFi and DeFi has sparked debate within the crypto community. While some view it as the natural next phase of blockchain evolution, others express concern over potential centralization and institutional overreach.
The Institutional Perspective
Institutional voices are also weighing in. In a recent interview, Franklin Templeton CEO Jenny Johnson highlighted the need for regulatory clarity as a crucial step toward harmonizing traditional and decentralized finance. She stressed that clear frameworks would not only reduce operational friction and costs but also unlock new avenues for innovation.
Privacy concerns and legal uncertainties remain barriers for institutions entering DeFi, but industry leaders suggest these challenges are already being addressed.
Shibtoshi, founder of the privacy-focused trading platform SilentSwap, shared with Cointelegraph that many of these roadblocks are being actively tackled. He noted that institutional engagement with DeFi has been rising for years, citing reports from 2021 that found nearly one-third of institutional crypto investors were already leveraging DeFi protocols — a number likely to have increased since.
What’s Next for Converge?
As anticipation builds around Converge’s testnet launch, the project signals a transformative step toward a hybrid financial future — one where blockchain-powered innovation meets regulatory readiness and real-world utility.
Whether Converge becomes the cornerstone of this convergence will depend on more than just speed and scalability. Its ability to balance compliance with decentralization, performance with accessibility, and institutional adoption with community trust will define its legacy.
One thing is certain: the race to merge TradFi and DeFi is on — and Converge just entered the arena.
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