In a Sept. 11 put up on X, Mountain Protocol introduced the launch of USDM, an ERC-20 yield-bearing stablecoin.
Mountain Protocol, granted a digital asset business license by the Bermuda Financial Authority, can now subject, promote, and redeem USDM.
The thread on X (previously Twitter) claims that the token is totally backed by short-term U.S. treasuries whereas providing customers every day rewards by way of rebasing at a price of 5% APY. The protocol states that the mechanism for rebasing is much like Lido Finance’s stETH and will probably be acquainted to many of the crypto neighborhood.
The stablecoin can also be marketed for its means to permit non-U.S. customers to entry U.S. Treasury yields along with different DeFi protocols. That stated, the stablecoin’s terms and conditions specify that USDM has not been registered underneath the U.S. Securities Act of 1933.
On the identical time, Mountain Protocol additionally introduced a financing spherical led by Fortress Island Ventures, with extra participation from Coinbase Ventures, New Kind Capital, Daedalus Angels, Ameen Soleimani, Alex Svanevik, the co-founder and CEO of Nansen, Maraoz, the Founding father of Buzhi, OpenZeppelin and Decentraland and Demi Brener.
An early mover into digital property
Bermuda is commonly thought-about an early mover into digital property. In 2018, it launched the Digital Asset Business Act as a statutory foundation for regulating cryptocurrencies and turning into a regulatory atmosphere recommended by many distinguished gamers within the business.
Because of this, Coinbase, the world’s second-largest trade, has additionally chosen Bermuda to be one in every of its worldwide hubs, holding its personal Class F License. That is along with Circle, the platform behind the stablecoin, USDC, which additionally leveraged Bermuda to launch the world’s first regulated institutional yield product.
