DUBAI, United Arab Emirates, Dec. 09, 2025 (GLOBE NEWSWIRE) -- Mutuum Finance (MUTM), a developing project in the DeFi crypto sector, has released a new update on its ongoing roadmap progress. The team confirmed that Phase 2 development milestones are moving forward as planned and that Halborn Security continues its review of the protocol’s lending and borrowing contracts. The project also reported consistent presale activity as it prepares for the upcoming V1 testnet scheduled for Q4 2025.
Mutuum Finance and Its Dual Lending Design
Mutuum Finance is building a decentralized lending system with two connected lending markets. The first market allows users to lend assets such as ETH or USDT. When they lend, they receive mtTokens. These mtTokens rise in value as borrowers repay interest. The aim is to create yield that reflects actual protocol activity rather than fixed rewards.
The second market focuses on more flexible borrowing interactions. Borrowers can open positions with variable rates that adjust with liquidity. When the pool is full, borrowing stays more affordable. When liquidity tightens, rates climb. Loan-to-value limits guide how much collateral borrowers must maintain. If a position becomes unsafe, part of the collateral may be liquidated. Liquidators repay part of the borrower’s debt and receive collateral at a discount. This structure is intended to support a stable and predictable lending environment.
According to the development team, these two markets will operate together in V1. The design aims to balance liquidity, protect lenders and give borrowers reliable access to credit without large price swings.
mtTokens and Their Role in the Protocol
Mutuum Finance plans to make mtTokens the central part of its yield model. mtTokens increase in value when borrowers repay interest. A user who supplies ETH or USDT to the protocol will receive mtTokens that reflect the growth of the pool. The team states that this approach will allow returns to scale with user activity and make the lending side more predictable.
The mtToken model is also tied to Mutuum Finance’s long-term vision. As the protocol expands, new features will rely on the growing value of mtTokens. The design is meant to reduce dependence on external incentives and encourage liquidity providers to participate through actual lending demand.
Presale Activity and Token Distribution
Mutuum Finance began its token sale in early 2025 at a starting price of $0.01. The token now sits at $0.035. The project has raised $19.2 million and has more than 18,300 holders. These figures indicate steady demand during the development phase. More than 810 million tokens have been purchased so far.
The MUTM supply is capped at 4 billion tokens. Out of this total, 1.82 billion tokens are allocated for the presale. This equals 45.5% of all MUTM tokens. The team designed this structure to distribute ownership across a broad user base before the protocol’s first version goes live.
Daily activity inside the presale continues through the project’s 24-hour leaderboard. The top daily contributor receives $500 in MUTM. The project also supports card payment, making it accessible for new users who prefer not to handle wallet transfers during onboarding.
Phase 2 Development Update
The team confirmed that Mutuum Finance has passed several Phase 2 development milestones. These updates include contract refinement, interface adjustments, tuning of risk settings, improvements to collateral behavior and new analytics tools. These components prepare the protocol for the upcoming testnet and help ensure that core lending operations perform correctly under different conditions.
Phase 2 also includes work on monitoring systems. These systems will allow users to track borrowing activity, liquidation events and interest changes once V1 is active. The team stated that these tools will support transparency and allow users to understand how the protocol responds to market shifts.
Halborn Security Review
Halborn Security continues its examination of the lending and borrowing contracts. The audit focuses on liquidation logic, loan-to-value settings, interest calculations and collateral management. Halborn’s review is considered one of the key steps in preparing the platform for testing.
Mutuum Finance also completed a CertiK audit, receiving a 90/100 Token Scan score. The audit evaluated contract behavior, risk exposure and potential vulnerabilities. A $50,000 bug bounty is active so developers can identify issues that standard audits may not catch. These layers of review are intended to strengthen trust before real user activity begins.
Stablecoin Plans and Layer-2 Expansion
Mutuum Finance is preparing a USD-pegged stablecoin that will be backed by borrower interest. The stablecoin is planned to serve as one of the main assets for borrowing and lending. Stablecoins often help lending platforms grow because they remove volatility risk for users who prefer stable collateral.
The project also intends to expand across multiple layer-2 networks. L2 scaling will reduce transaction costs and improve speed. Lending protocols rely on frequent updates to borrowing positions, so lower costs may help the protocol attract more users once V1 becomes active.
The protocol will use Chainlink as its primary oracle provider. Chainlink feeds will supply price data for collateral and borrowed assets. Backup oracle sources are also part of the design. Aggregated pricing will help reduce the chance of incorrect liquidations and support more accurate collateral evaluation.
Mutuum Finance continues to report steady progress on its roadmap. Phase 2 updates, security reviews and presale engagement show that the project is moving toward its Q4 V1 launch. With dual lending markets, mtToken yield, stablecoin integration, oracle layers and future layer-2 expansion, the project is positioning itself as an emerging next crypto contender within the DeFi space.
For more information about Mutuum Finance (MUTM) visit the links below:
Website: https://www.mutuum.com
Linktree: https://linktr.ee/mutuumfinance
