ETH recovers with Stablecoin push—meanwhile, this project raised $10.8M+

Ethereum (ETH) has recently seen renewed investor confidence following increased attention on stablecoins and their growing use in decentralized applications. But while Ethereum (ETH) continues to dominate the conversation, another decentralized finance (DeFi) project is rapidly climbing the ranks—quietly raising over $10.8 million in its presale phase, community growing efforts including an ongoing $100K giveaway and offering a practical model for earning passive income. That project is Mutuum Finance (MUTM), a compliance-focused protocol combining real yield generation with upcoming innovations like Layer-2 infrastructure and an overcollateralized stablecoin. As ETH turns to stablecoin integrations to maintain its market position, Mutuum Finance (MUTM) is building its own ecosystem from the ground up—designed to be fast, flexible, and rewarding from the very first deposit. Layer-2 speed, stablecoin mechanics, and smart passive income At its core, Mutuum Finance (MUTM) is a non-custodial liquidity protocol that allows users to lend or borrow digital assets. But what makes it stand out is its blend of features focused on usability and yield generation. The protocol will offer both Peer-to-Contract (P2C) and Peer-to-Peer (P2P) lending models. In the P2C model, users will deposit crypto assets such as USDC, ETH, or AVAX into shared smart contract-based pools. These deposits will earn interest automatically based on real-time demand. As more users borrow from these pools, the interest rate will rise, increasing earnings for liquidity providers. This mechanism rewards those who supply capital when it’s needed most. Users looking for even more control will be able to participate in P2P lending. In this model, lenders directly negotiate terms with borrowers, offering personalized rates and unique token pairings—including meme assets like Pepe (PEPE) or Shiba Inu (SHIB), which are usually ignored by centralized platforms. This dual structure makes Mutuum flexible for both passive investors and active DeFi users. Layer-2 integration is also in development, which will allow Mutuum Finance (MUTM) to handle high volumes of transactions quickly and with minimal gas costs. The improvement in transaction speed and reduction in fees is expected to enhance both the borrowing and lending experience—something Ethereum (ETH) still struggles with during periods of congestion. One of the protocol’s most significant upcoming utilities is the introduction of its decentralized, overcollateralized stablecoin. Unlike traditional stablecoins that rely on fiat reserves or centralized custodians, Mutuum Finance (MUTM) will enable users to mint its stablecoin directly from on-chain collateral. The stablecoin will be burned upon repayment or liquidation, and only approved issuers—such as approved smart contracts—will be permitted to mint new supply. Allocation caps will be enforced to maintain risk controls across the system. Interest rates for borrowing the stablecoin will be governed by Mutuum’s internal system, not determined by open market fluctuations. If the stablecoin trades above $1, governance will be able to reduce interest rates to expand supply. If it trades below $1, borrowing costs can be increased to contract supply. Arbitrage activity is expected to support price alignment, helping the system maintain its target peg. All loans involving the stablecoin will remain overcollateralized. If the collateral backing a position falls below the required threshold, liquidation will occur automatically through smart contract execution. This ensures that the protocol is structured to manage volatility and protect solvency through defined risk mechanisms. How to earn: real yields, token utility, and future value Earning on Mutuum Finance (MUTM) will start with a simple deposit. When users deposit assets into a liquidity pool, they receive mtTokens—on-chain tokens that represent their deposit and accrue value as interest builds. These mtTokens are not just passive receipts; they can also be staked in specific contracts that will make users eligible for passive dividends in MUTM. The protocol will use revenue from interest and platform fees to conduct regular buybacks of MUTM tokens, which will then be distributed to stakers of mtTokens in designated contracts. This buyback model is designed to strengthen token value while rewarding long-term participants with consistent, protocol-based returns. Covering the future value, as the presale advances, the price will gradually increase from $0.03 through 6 more structured phases, eventually reaching $0.06 by the final stage. Investors entering during the current phase stand to benefit from the lowest available price before the token is listed. To understand the income potential, let’s consider a straightforward example. A $2,000 investment at the current price of $0.03 would purchase approximately 66,666 MUTM tokens. When the token reaches 30x its current value—at $0.90—those same tokens would be worth around $60,000. This return does not even include passive dividends from staking mtTokens, which are layered on top as additional yield. Moreover, because the protocol will allow open-ended loan terms, users will be able to repay whenever they wish, without penalties, offering flexibility for both short-term and long-term strategies. Borrowers will retain ownership of their deposited collateral, allowing them to hold onto high-potential assets like ETH or BTC while using borrowed stablecoins to pursue other opportunities. Another factor increasing investor confidence is the successful security audit of Mutuum Finance (MUTM) by CertiK. The audit included both static analysis and manual review, earning the project a token scan score of 80.00. The audit began in late February 2025 and was revised in May, giving transparency and reassurance to new users considering larger allocations. A smarter choice in a yield-focused DeFi future Ethereum (ETH) may still be a pillar of the crypto industry, but its large market cap and slower innovation pace can limit short-term returns. Its current gains are closely tied to institutional stablecoin experiments, which remain heavily regulated and centrally controlled. In contrast, Mutuum Finance (MUTM) offers a more utility-rich, yield-focused opportunity. With on-chain lending models, a transparent stablecoin system, automated dividends, and a growing user base, Mutuum Finance (MUTM) appears purpose-built for investors looking to participate directly in the next wave of decentralized finance. For more information about Mutuum Finance (MUTM) visit the links below: Website: https://mutuum.com/ Linktree: https://linktr.ee/mutuumfinance The post ETH recovers with Stablecoin push—meanwhile, this project raised $10.8M+ appeared first on Invezz

Source: Invezz