Mountain Protocol Launches USDM, an ERC-20 Yielding Stablecoin, With Digital Asset Business License

In a September 11 post on X, Mountain Protocol announces the launch of USDM, an ERC-20 yielding stablecoin

Mountain Protocol, a company that has been granted a digital asset business license by the Bermuda Monetary Authority, has announced the launch of USDM. This stablecoin can now be issued, sold, and redeemed by Mountain Protocol.

The protocol states that the re-establishment mechanism of USDM is similar to Lido Finance’s stETH and will be familiar to most of the cryptocurrency community.

The stablecoin, USDM, is being marketed for its ability to allow non-US users access to US Treasury yields and other DeFi protocols. However, it should be noted that USDM is not registered under the US Securities Act of 1933, according to the terms and conditions.

In addition to the launch of USDM, Mountain Protocol has also announced a funding round led by Castle Island Ventures. Other participants in the funding round include Coinbase Ventures, New Form Capital, Daedalus Angels, Amin Soleimani, Alex Svanjevic, Maraoz, and Demi Brenner.

Early mover of digital assets

Bermuda has established itself as an early mover in the world of digital assets. In 2018, it passed the Digital Asset Business Act, which provided a legal basis for regulating cryptocurrencies. This has made Bermuda a regulatory environment that is highly regarded by industry players. As a result, companies like Coinbase and Circle have chosen Bermuda as one of their international hubs for digital asset operations.

Coinbase, the world’s second largest exchange, holds a Class F license in Bermuda. Additionally, Circle, the platform behind the USDC stablecoin, has also tapped Bermuda to launch the world’s first regulated institutional yield product.

For more information, read: A bank in Bermuda issues a stablecoin pegged to the US dollar.