Coinbase, the largest cryptocurrency exchange in the United States, announced that Coinbase Prime has signed a custody agreement with Ethena Labs.

Coinbase announced in its official blog post that its brokerage platform Coinbase Prime has signed a custody agreement with Ethena Labs, the issuer of stablecoin USDe.

Under this agreement, Coinbase will manage the custody of ENA tokens for Ethena Labs and the Ethena Foundation.

Under the agreement, Coinbase Prime will provide custody, USDC, and self-hosted wallet services for Ethena.

Additionally, Coinbase Prime’s Web3 wallet will be integrated into Ethena’s minting and redemption processes, improving the protocol’s efficiency.

“Specifically, the agreement includes:

Serving as the primary custodian of ENA tokens;

Providing enterprise-level solutions for the Ethena Labs core team and the Ethena Foundation;

Integrating the Prime Web3 wallet into the protocol’s minting and redemption process to increase Ethena’s infrastructure efficiency;

“Adopt USDC and expand its use in support agreements”

“We are excited to work with one of the most prominent brokerage platforms and most secure custodians in our industry,” said Guy Young, CEO and founder of Ethena Labs, in a statement. “Coinbase’s exceptional track record of consistently delivering best-in-class, institution-grade products made this a no-brainer for us.”

Ethena (ENA) is the first on-chain synthetic USD protocol built on Ethereum.

ENA, which has gained 4% in the last 24 hours, continues to trade at $0.31.

*This is not investment advice.