Mountain Protocol has introduced the native issuance of its yield-bearing stablecoin USDM on ZKsync Period.
The launch allows ZKsync (ZK) customers to leverage the USDM stablecoin in decentralized finance whereas incomes yield from tokenized Treasury payments. In line with the Mountain Protocol group, the 2 tokens, USDM and wUSDM, at the moment are natively accessible on ZKsync Period.
USDM is a regulated ERC-20 token, just like different prime fiat-backed stablecoins, and was first unveiled in September 2023. It permits holders to profit from U.S. Treasury payments and different alternatives throughout DeFi. The rebasing stablecoin gives a 4.7% annual proportion yield, with rewards accrued every day for holders. USDM is pegged 1:1 to the U.S. greenback.
ZKsync customers can now maintain USDM of their wallets to earn every day yield, use it for funds and settlements, and deposit it into liquidity swimming pools to earn buying and selling charges. The token will also be utilized in DeFi lending and as collateral in perpetuals buying and selling.
In the meantime, wUSDM, the wrapped model of the stablecoin, displays worth appreciation as USDM rewards accumulate for holders. Mountain Protocol permits customers to wrap and unwrap USDM and wUSDM on its mainnet, decentralized exchanges, and liquidity aggregators.
Per the Mountain Protocol announcement on Jan. 20, each USDM and wUSDM at the moment are accessible to commerce on ZKsync DEX platform SyncSwap, with greater than $5 million in liquidity.
“By incorporating USDM into the blockchain, ZKsync can be enhancing its ecosystem’s total yield charges, making it a extra capital-efficient blockchain, whereas adopting a clear and safe token,” Mountain Protocol shared by way of X.
Notably, USDM stays unavailable to U.S. residents and throughout different restricted international locations and jurisdictions.