Mantle Network’s Ethereum-based L2 project integrates the stablecoin USD Yield (USDY) from Ondo Finance, pegged to the US dollar.
It’s Official: Ondo Finance’s USD Yield ($USDY) is coming to Mantle 🤝
🥳 We’re thrilled to announce @OndoFinance as a Showcase Partner for RWAs. For the first time, users will be able to access US Treasury yield directly from their wallet on Mantle.https://t.co/BP9qF5sXtr pic.twitter.com/0ONf8Wv3HJ
— Mantle (@0xMantle) September 12, 2023
“USDY is the world’s first tokenized currency backed by a combination of US Treasuries and bank deposits,” the statement said.
Token holders will be able to receive passive income in the amount of 5% per annum. At the same time, for the residents of the United States themselves, the earning function will be limited.
Ondo Finance issuer is a leader in R.W.A.-industry, occupying about 50% of the tokenized securities market. In February 2023, the organization already issued digital treasury bonds, whose capitalization is currently about $160 million.
Mantle emphasized that the asset offers “the best protection for investors on the market.”
You can purchase USDY directly through the Ondo portal or through decentralized exchanges on Mantle. The issuer will also launch a cross-chain bridge with Ethereum for the conversion of stablecoins. In the future, the list of available blockchains will expand.
The new “stable coin” could be used as collateral for derivatives platforms and lending protocols, or simply as a means of payment.
In parallel with USDY, it became known about the launch of the USDM stablecoin, which is also backed by US Treasury bonds and brings a passive income of 5%. The asset is issued by Mountain Protocol, which has already received an issuer license in Bermuda.
Let us recall that in August, Kaiko analysts predicted the beginning of “stablecoin wars.” Experts drew attention to the imbalance of the main USDT-USDC pool on Uniswap V3 and 3pool on Curve due to the escalation of sales of the “stable coin” from Tether.
According to Bernstein researchers, in the next five years the total capitalization of “stable coins” will grow from the current $125 billion to $2.8 trillion.
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