- Mountain Protocol has integrated Chainlink’s cross-chain transfers technology.
- The cross-chain interoperability protocol, CCIP, will help USDM users transfer yield-bearing stablecoin across Ethereum, Base and other chains.
Mountain Protocol has announced that it will tap into oracle network Chainlink’s technology for cross-chain transfers of its yield-bearing stablecoin USDM.
The USDM token is fully backed by US Treasuries.
Mountain Protocol integrates CCIP
According to a blog post, the integration involves Chainlink’s cross-chain interoperability protocol (CCIP).
Mountain Protocol will leverage the standard for cross-chain transfers of its stablecoin USDM across Ethereum, Optimism, Arbitrum, Base, and Polygon PoS. Users can use the Chainlink-powered XSwap bridge for these transfers.
Mountain Protocol launches USDM cross-chain native bridging with @chainlink’s CCIP, simplifying transfers and unifying liquidity across multiple blockchains while ensuring security.
You can now move your USDM across chains via https://t.co/KBqYH5C2dx or via @xswap_link’s app.… pic.twitter.com/X1Kx0ctp6k
— Mountain Protocol (@MountainUSDM) October 17, 2024
It’s the latest CCIP integration by a blockchain protocol, with users benefitting from simplified transfers, unified liquidity and security.
Using CCIP for USDM transfers works by burning tokens on originating blockchain and minting new ones on the destination chain. This ensures supply consistency and transaction integrity, with users able to tap into the stablecoin for decentralised finance activities on any of the supported chains.
Chainlink’s CCIP is key in the growing tokenized real-world assets market. Currently total RWA on-chain is over $13 billion, according to rwa.xyz. Meanwhile, the stablecoin market is around $171 billion, with USDM around $55.5 million per rwa.xyz.
The cross-chain interoperability protocol, alongside other services such as Proof of Reserve, Data Streams and Data Feeds are helping bring DeFi to more people through tokenized RWAs.
Other than token transfers and DeFi, Chainlink’s CCIP has use cases across gaming, web3 usernames and liquidation protection.