Dubai, UAE, November 27th, 2025, FinanceWire
Mutuum Finance (MUTM), a decentralized finance (DeFi) project, has announced that it is on track to launch its V1 Testnet in the fourth quarter of 2025. The team has outlined several development milestones achieved throughout the year, including advancements in protocol functionality, security enhancements, and presale updates. According to project representatives, community engagement has continued to grow steadily as the team progresses through its roadmap.
What Mutuum Finance Is Building
Mutuum Finance is in the process of developing a decentralized lending and borrowing protocol aimed at delivering a structured and transparent environment for users. The protocol is designed to operate across two distinct lending markets to accommodate varying user preferences and risk profiles.
The first market follows a Peer-to-Contract model, where users supply assets into protocol-managed liquidity pools. In exchange, suppliers receive mtTokens, which act as interest-bearing receipts. The value of mtTokens appreciates over time as interest is repaid by borrowers, allowing suppliers to gain exposure to protocol-generated yield.
The second market adopts a Peer-to-Peer structure. This model enables lenders and borrowers to negotiate loan terms individually, including options for variable or, under certain conditions, fixed interest rates. Features such as loan-to-value ratios and predefined collateral requirements are built into the system to support risk management.
Mutuum Finance is also developing a buy-and-distribute mechanism intended to support long-term protocol operations. A share of protocol-generated revenue will be allocated to purchase MUTM tokens on the open market. These tokens will then be distributed to users who stake mtTokens in the protocol’s safety module. This mechanism is designed to enhance protocol resilience and facilitate systematic token distribution.
Stablecoin and Layer-2 Expansion Plans
In addition to its lending features, Mutuum Finance is developing an on-demand stablecoin. This stablecoin will be minted and burned based on usage and is planned to remain pegged to USD. This structure aims to create consistent liquidity and help users borrow assets without exposure to high volatility.
Layer-2 expansion is another part of the project’s long-term roadmap. The team plans to deploy the protocol across multiple L2 networks to reduce transaction fees, increase processing speed and improve user experience. The goal is to make lending and borrowing more accessible, especially during periods of higher network activity.
Security Measures and Halborn Review
Security remains one of the main areas of focus for Mutuum Finance. The project completed a CertiK audit earlier this year, receiving a 90/100 Token Scan score. This audit reviewed contract structure, potential attack vectors and general protocol behavior.
Alongside CertiK, Mutuum Finance also announced that Halborn Security is reviewing the lending and borrowing contracts. Halborn is known for auditing major blockchain and DeFi crypto systems, and its involvement adds another layer of scrutiny to the development process. The review includes analysis of liquidation logic, mtToken mechanics, collateral rules and oracle connections.
The project’s reliance on accurate pricing is supported by plans to use Chainlink oracles, fallback feeds and on-chain metrics. These tools help maintain fair valuation models and reduce risks related to incorrect liquidation events.
According to the Mutuum Finance team, V1 of the protocol will launch on the Sepolia Testnet in Q4 2025. This version will introduce the core components of the platform, including the liquidity pool, mtToken system, debt-tracking token and the liquidation bot. ETH and USDT will be supported as the initial assets for lending and borrowing.
The V1 release will serve as the first public demonstration of how the protocol functions. It will also allow users and developers to test features, identify potential improvements and give feedback before the mainnet launch. The team stated that V1 is a major step toward showing the practical utility of the system and confirming the protocol’s readiness for wider deployment.
Presale Activity and Community Growth
Mutuum Finance began its token presale in early 2025 at an initial price of $0.01. The token price has incrementally increased across stages, currently reaching $0.035 in Phase 6. To date, the project has reported raising over $19 million, with more than 18,900 wallet addresses holding MUTM tokens.
The total supply of MUTM is set at 4 billion tokens, with 1.82 billion allocated to the presale. According to project data, over 800 million tokens have been distributed so far, and Phase 6 has surpassed 92% allocation. The team states that participation has remained steady, including both new and returning contributors.
The project has implemented a 24-hour leaderboard feature, which provides a $500 MUTM allocation to the top participant each day. This system, along with support for direct card payments, is designed to facilitate onboarding and maintain user engagement across various regions.
Outlook as the Project Enters the Final Stages of 2025
Mutuum Finance has continued to advance through its development roadmap during 2025. Key features currently in development include dual lending markets, mtToken-based yield mechanisms, a planned stablecoin, and anticipated Layer 2 expansion. The protocol is also undergoing multiple stages of security auditing as part of its technical roadmap.
The team has confirmed that the V1 Testnet is scheduled for launch in the fourth quarter of 2025, signaling that core components of the platform are approaching initial deployment readiness. Project updates have been accompanied by ongoing community engagement and presale participation, which the team reports has remained consistent throughout the year.
About Mutuum Finance (MUTM)
Mutuum Finance (MUTM) is a decentralized finance project developing a dual-market lending and borrowing protocol that combines pooled liquidity with peer-to-peer lending structures. The platform is designed around mtTokens, collateral rules and automated risk controls, with additional components such as a planned USD-pegged stablecoin and Layer-2 expansion included in its long-term roadmap. The upcoming V1 Testnet release on Sepolia will introduce the protocol’s core features and allow users to evaluate its early functionality.
For more information about Mutuum Finance (MUTM) users can visit the links below:
Website: https://www.mutuum.com
Linktree: https://linktr.ee/mutuumfinance