DUBAI, United Arab Emirates, December 5, 2025 (GLOBE NEWSWIRE) —
Mutuum Finance (MUTM)a new crypto project building a decentralized lending protocol, has confirmed that several major milestones from Phase 2 of the roadmap have been achieved. The update comes as the team continues preparations for its V1 testnet, which remains scheduled for release in Q4 2025. The project has also highlighted steady growth in user participation and pre-sales activity as development progresses.
Mutuum Finance and its loan model
Mutuum Finance creates a dual-market lending structure designed to support on-chain borrowing and lending. The system allows users to lend assets such as ETH or USDT while receiving mtTokens. mtTokens increase in value as borrowers repay interest, providing lenders with a return tied to the protocol’s actual activity. The model aims to create predictable returns that are not dependent on fixed emissions.
Borrowers interact with interest rates that change based on liquidity levels. When liquidity is high, borrowing remains more affordable. When liquidity tightens, borrowing costs increase. Loan-to-value limits help guide borrowing safely and reduce the risk of unstable loan positions. If the guarantee weakens too much, liquidation may take place. The liquidators repay part of the debt and receive collateral at a reduced price. These steps help stabilize the lending environment and support a reliable borrowing structure.
Progress through Phase 2 of development
Mutuum Finance reports that contract refinements, interface adjustments and internal testing of collateral behavior have progressed as planned. The team says updates to liquidation logic and borrowing calculations have also been completed. Additional enhancements include new analytics and monitoring tools that will support user activity once the protocol is live.
According to the team, Phase 2 focused on optimizing internal systems rather than adding new features. The goal is to prepare the loan protocol for the Q4 testnet while ensuring that the core components respond correctly in different market conditions.
Presale participation and token structure
Mutuum Finance launched its token sale in early 2025 at $0.01. The price is now $0.035, reflecting a 250% increase during development. The project raised $19.1 million and has more than 18,300 porters. Over 810 million MUTM tokens have been purchased. The total supply is 4 billion tokens. Of this supply, 1.82 billion tokens were allocated for the presale, which equates to 45.5% of the total.
The pre-sale phases progress to later stages. The project continues to note consistent buyer activity and participation across all regions. Mutuum Finance also supports card payment, allowing new users to sign up without a technical onboarding process. The 24-hour leaderboard remains active, giving the top daily contributor $500 in MUTM. This feature helped maintain engagement and maintain visibility during the pre-sale period.
V1 planned for the 4th quarter of 2025
Mutual Finance confirmed on his official expects the V1 testnet to remain on track for a fourth-quarter launch. The testnet will introduce several core lending functions, including liquidity pool, mtTokens, debt tracking module, and liquidation bot. ETH and USDT will be the first supported assets.
The testnet will allow the community to observe the performance of the protocol in a real environment. This will also help identify areas that need improvement before the project moves to full release. The team plans to release updates during the testing phase to show how the system responds to data changes and borrowing activity.
Safety remains one of the main priorities. Mutuum Finance completed a CertiK audit and received a Token Scan score of 90/100. The audit covered token behavior, contractual interactions, and potential risk points. Halborn security is review loan contracts to examine liquidation logic, borrowing rules and interest calculation. The project also launched a $50,000 bug bounty to help uncover any issues that internal audits might miss.
These steps aim to create a more secure protocol for users once the lending system is active. Security remains at the heart of any DeFi crypto project, especially those preparing to handle live collateralization and borrowing operations.
Stablecoin and Layer-2 expansion plans
Mutuum Finance is developing a USD-pegged stablecoin that will be minted and burned based on demand. The stablecoin will be backed by borrowers’ interests and is expected to provide predictable value to users who want to avoid volatility when borrowing or providing liquidity.
The team also plans to extend Mutuum Finance across multiple Layer 2 networks. Layer 2 support aims to improve transaction speed and reduce costs. This is important for lending platforms because they rely on frequent updates of collateral and interest positions. Deploying Layer 2 can also help the project reach more users and increase liquidity in the markets.
Outlook heading into fourth quarter
As Phase 2 progresses and V1 development is well underway, Mutuum Finance continues to position itself as the next notable crypto project entering the lending space. The presale showed consistent participation, and the project’s focus on security, stablecoin expansion, and Layer 2 scaling suggests a broader plan for long-term growth. Further updates are expected as testnet V1 approaches, and the team plans to release more documentation as the new systems are finalized.
For more information on Mutuum Finance (MUTM), visit the links below:
Website: https://www.mutuum.com
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