DUBAI, United Arab Emirates, Jan. 11, 2026 (GLOBE NEWSWIRE) -- Mutuum Finance (MUTM) has provided a new update on its technical roadmap as development for its decentralized lending protocol continues. The team confirmed that security auditing has progressed as planned and that work on the first public version of the protocol is moving forward. Mutuum Finance is one of the new crypto projects preparing to enter the top crypto sector with a focus on on-chain credit markets rather than speculative trading activity.
Protocol Overview and Design
Mutuum Finance is developing a dual lending structure that combines two different models. The first is a Peer to Contract (P2C) market. In this market, users lend assets into shared liquidity pools. Borrowers use the same pooled liquidity to take loans. Lenders receive mtTokens to track their deposit position and yield as borrowers access credit. The yield changes based on pool usage and borrowing demand. This structure allows users to lend without matching against individual borrowers. It also gives borrowers access to instant liquidity.
The second model is a Peer to Peer (P2P) market. In this system, lenders and borrowers match directly. Loan terms can be set between both parties, including collateral type, interest rate, and repayment details. Borrowing in both systems remains collateralized, and Loan to Value rules apply to prevent large losses during price changes.
If collateral value falls below set thresholds, liquidation logic repays part of the loan and transfers discounted collateral to liquidators. This process keeps borrowing markets solvent and protects lenders.
The two markets give Mutuum Finance a wider range of use cases than traditional pool-only lending designs. P2C benefits users who want passive yield and quick settlement. P2P offers more flexibility for direct financing agreements and customized credit terms. Analysts note that this structure supports both retail borrowing and more specialized borrowing activity.
Stablecoin Plans and Layer-2 Expansion
The protocol uses mtTokens to account for deposits in the P2C market. mtTokens represent the lender position and increase in value when borrowers repay interest. The system also uses debt tokens to track active loans. This accounting structure is common in DeFi lending markets and allows on-chain verification of asset positions.
The team has also disclosed plans to introduce a stablecoin into the ecosystem. Stablecoins are considered essential for most decentralized lending systems because they support borrowing activity and allow users to raise capital without exposure to market volatility. Mutuum Finance stated that the planned stablecoin would be backed by borrower interest and supported by collateral frameworks inside the protocol.
Layer-2 expansion is also included in the roadmap. Layer-2 networks reduce transaction fees and increase network speed for users who prefer low-cost execution. Mutuum Finance expects that these improvements will support scaling once the protocol moves beyond early testing and into active markets.
Security Work and Halborn Review
Security has been a core focus during the development cycle. Mutuum Finance reported that it completed an independent security audit with Halborn Security. Halborn is known for auditing leading crypto infrastructure and DeFi lending systems.
The audit focused on contract logic, collateral rules, and liquidation pathways. These components were reviewed due to the sensitivity of collateral management in lending markets. Halborn’s review follows earlier smart contract checks and verification work completed during the roadmap’s internal phases.
The project also finalized a CertiK evaluation with a 90 out of 100 Token Scan score. CertiK is commonly referenced in the crypto security sector and evaluates risk factors across token ecosystems. Mutuum Finance also launched a $50,000 bug bounty focused on code vulnerabilities to encourage responsible disclosure ahead of public mainnet release.
V1 Launch and Roadmap Phase
The team confirmed that the V1 protocol is preparing for testnet deployment. The first version will operate on Ethereum’s Sepolia testnet before final preparation for mainnet. The V1 release will introduce the live lending module, P2C market mechanics, collateral rules, mtToken issuance, and liquidation logic. Borrowing and settlement functions will also be available on a limited basis. The testnet phase will precede onboarding and further risk evaluation.
V1 aligns with the project’s Phase 2 roadmap milestone, which focuses on functional systems rather than marketing or speculation. Further roadmap phases include mainnet deployment, stablecoin onboarding, and eventual multi-chain expansion through Layer-2 networks.
Presale Structure and Participation Data
Mutuum Finance is also running an active presale for the MUTM token. The token is priced at $0.04 in Phase 7. Each phase includes a fixed allocation and fixed price that increases once the allocation is sold. The presale began in early 2025 with a Phase 1 price of $0.01, marking a roughly 300% increase at the current stage.
The presale has reached $19.7 million raised and more than 18,800 holders have participated. A public dashboard displays live statistics for tokens sold, wallet participation, and funding levels.
Mutuum Finance enters the next stage of its roadmap as it prepares for testnet launch and continued security work. Analysts describe it as a next crypto project in the DeFi lending sector with a product-focused strategy instead of a speculative-only model. V1 release timing is expected to align with broader interest in collateralized borrowing markets during the upcoming cycle.
For more information about Mutuum Finance (MUTM) visit the links below:
Website: https://www.mutuum.com
Linktree: https://linktr.ee/mutuumfinance
Media Contact Information J.Weir Contact@mutuum.com
