Solana Foundation’s former stablecoin lead Anna Yuan has left the company to build her own startup, Perena, which aims to provide infrastructure for stablecoin trading. In an interview with CoinDesk last month, Yuan revealed that Perena had raised around $3 million in a pre-seed funding round led by Borderless Capital.
Perena’s focus is on creating on-chain systems that enable multiple stablecoins to have good trading liquidity, even when they are new. This contrasts with most other stablecoin projects, which rely on the same source of value: the U.S. dollar, the globally recognized reserve currency. The problem arises when numerous fintech companies launch their own digital versions of the dollar, making it difficult for consumers, businesses, and traders to move seamlessly between them.
"If PayPal, Robinhood, and 20 other companies want to launch stablecoins on Solana, they’re going to have a really hard time getting any adoption, and those stablecoins are going to be any more usable than their fiat counterparts," Yuan explained. She emphasized that Perena wants to become the foundational layer for stablecoin issuers, providing a neutral platform for them.
The project is built on the assumption that stablecoins will continue to grow in prominence, not only as a critical asset for traders speculating on cryptos but also as a store of value and medium of exchange. Yuan believes that Solana’s fast speeds and cheap fees can be a catalyst for more people to experiment with bringing their money on-chain via stablecoins. With many crypto jobs paying staff in stablecoins, payroll introduces people to the on-chain economy, and they may not be eager to switch back entirely.
Perena fits into this puzzle as a place of exchange, setting up swap pools that allow traders to readily swap between assets. This is similar to Curve’s 3pool on Ethereum, but Perena aims to support multiple stablecoins at once. Stablecoin holders will be able to earn extra yield by lending their assets into the pool, earning more based on their risk tolerance.
Alongside the pool infrastructure, Perena plans to build a form of "synthetic money" that Yuan claims will be more resilient than the fiat currencies most people hold in traditional bank accounts. This will take the form of a collateralized debt position (CDP) stablecoin backed by other stablecoins – similar to MakerDAO’s (now Sky) DAI. Perena hasn’t finalized its design yet, but Yuan hopes that building a CDP next to a stableswap will create more synergies.
Perena’s Mission and Vision
Perena’s mission is to provide infrastructure for stablecoin trading, enabling multiple stablecoins to have good liquidity even when they are new. The project aims to become the foundational layer for stablecoin issuers, providing a neutral platform for them to operate on. By doing so, Perena hopes to create more synergies between different stablecoins and fiat currencies.
Stablecoin Trading Infrastructure
Perena’s focus is on creating on-chain systems that enable multiple stablecoins to have good trading liquidity. This involves setting up swap pools that allow traders to readily swap between assets, similar to Curve’s 3pool on Ethereum. Perena aims to support multiple stablecoins at once, providing a more comprehensive solution for the growing number of stablecoin issuers.
Synthetic Money and Collateralized Debt Positions
Perena plans to build a form of "synthetic money" that will be more resilient than fiat currencies. This will take the form of a collateralized debt position (CDP) stablecoin backed by other stablecoins – similar to MakerDAO’s (now Sky) DAI. Perena hasn’t finalized its design yet, but Yuan hopes that building a CDP next to a stableswap will create more synergies.
Risks and Challenges
Perena faces significant risks and challenges in the growing stablecoin market. With numerous fintech companies launching their own digital versions of the dollar, it may be difficult for Perena to gain traction and adoption. Additionally, the project’s reliance on Solana’s fast speeds and cheap fees creates uncertainty about its long-term viability.
Conclusion
Perena’s ambitious goal is to provide infrastructure for stablecoin trading, enabling multiple stablecoins to have good liquidity even when they are new. By creating on-chain systems that support multiple stablecoins at once, Perena hopes to become the foundational layer for stablecoin issuers. However, the project faces significant risks and challenges in the growing stablecoin market, making its success far from guaranteed.