What is Strata?

Strata is a perpetual risk tranching protocol that offers structured products on USDe — Ethena’s synthetic dollar backed by delta-neutral positions on blue-chip crypto assets. Strata enables investors to tailor their risk-return preferences while earning crypto-native returns from carry and basis trades through two risk tranches: Senior and Junior.

The protocol introduces two liquid and composable tokens built on Ethena’s reward-bearing synthetic dollar, sUSDe: Strata USDe (stUSDe) and Strata Junior Liquidity Pool (stJLP).

stUSDe

stUSDe is a yield-bearing, over-collaterlized synthetic dollar backed by USDe, representing the Senior Yield Tranche. It offers superior risk-adjusted returns by providing uncapped upside exposure to Ethena's sUSDe APY, while ensuring a guaranteed minimum yield and principal protection for investors seeking low-risk and predictable yields in DeFi.

stJLP

stJLP is a yield-bearing asset and liquid investment product representing the Junior Yield Tranche, offering leveraged exposure to Ethena’s sUSDe APY while also serving as a liquid insurance pool for stUSDe. It absorbs excess risk and volatility associated with sUSDe, earning a risk premium from the Senior Tranche—offering higher APY for risk-tolerant investors.

Strata will integrate more underlying yield sources over time, transforming them into over-collateralized yield-bearing synthetic dollars (senior tranche) and liquid investment products (junior tranche) through it's risk tranching mechanism.