GTE returns: likely Hyperliquid rival on LayerZero's Zero with Ethena
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GTE, a former MegaETH incubatee with $25M+ raised, appears to be building a perp DEX on LayerZero's ZK-based Zero network with Ethena's USDe as the liquidity layer, based on a leaked page. Explains Zero's atomicity zones and how USDe holds its peg.
Key claims
GTE raised $25M+ incl. a $15M Series A led by Paradigm in June 2025
Zero targets 2M TPS per Atomicity Zone
USDe peg is held by a delta-neutral hedge via perp shorts
GTE is back and here is why you should probably pay attention:
Originally incubated by @megaeth's MegaMafia, they raised over $25 million across multiple rounds, incl. a $15 million Series A led by Paradigm in June 2025 (other tier 1 investors include market makers like IMC, Wintermute and Auros), before deciding to embark on their own journey (aka not continuing to build on MegaETH).
Based on info @cryppimagic found on a now deleted GTE page (which was likely not meant to be public lol), they're likely looking to rival Hyperliquid / @tradexyz by joining forces with Zero (LayerZero's upcoming high performance network) and @ethena.
While we don't know how the architecture will look like exactly, we do know that:
Zero is a blockchain using ZK proofs so only a few block producers execute transactions, while lightweight validators on consumer hardware just verify tiny proofs instead of re-running everything. This removes the redundancy that bottlenecks chains like Ethereum and Solana, letting Zero run many parallel "Atomicity Zones" under one protocol like cores on a CPU, targeting 2M TPS per Zone (one of which will likely be GTE) with four custom components (QMDB storage, FAFO parallel execution, Jolt Pro proving, SVID networking).
Meanwhile, Ethena is one of the largest DeFi protocols on Ethereum, and the team behind USDe, a "synthetic dollar" that holds its $1 peg not with bank reserves like USDC, but with a delta-neutral hedge (it holds crypto collateral (staked ETH, BTC, etc.) and simultaneously shorts an equal amount via perpetual futures, so price moves cancel out). Staking USDe into sUSDe earns yield from the staking rewards plus the funding rates paid on those short positions, and Ethena/USDe is likely going to be the liquidity layer for @GTE_XYZ's perp DEX on Zero.
Get on the waitlist now ↓
t.co/ffUTzbeAI8
Above mentioned website leak: