Core Insights - Obex has raised $37 million to support the development of yield-generating stablecoins, backed by Framework Ventures, LayerZero, and the Sky ecosystem [1] - The initiative aims to invest in projects that implement real-world asset-backed strategies on-chain, enhancing risk controls and underwriting practices in the sector [1] Group 1: Investment and Market Potential - Obex will allocate capital from Sky, previously known as MakerDAO, which manages stablecoins with a combined market cap of $9 billion [2] - The market for stablecoins is projected to reach $1 trillion, with yield-bearing stablecoins expected to grow even faster [2] Group 2: Characteristics of Stablecoins - Stablecoins are cryptocurrencies designed to maintain a stable price, often backed by fiat money and government bonds, and are increasingly used for cross-border payments [3] - Emerging synthetic stablecoins, like Ethena's USDE, aim to provide competitive yields through backend investment strategies [3] Group 3: Risks and Oversight - Some backing strategies for synthetic stablecoins have proven risky, leading to a loss of price stability, as seen with USDX and deUSD during a recent DeFi contagion [4] - Obex aims to mitigate these risks by emphasizing rigorous oversight and robust technical foundations [5] Group 4: Focus Areas and Support - The initiative will concentrate on stablecoins backed by high-quality real-world collateral, including compute credits, energy assets, and loans to large fintechs [5] - Obex will run a 12-week program for early-stage teams, providing capital, technical resources, and access to Sky's infrastructure [6]