Velar Partners with Mezo for mUSD Integration

Velar, a Bitcoin DeFi protocol, has partnered with Mezo to integrate mUSD stablecoin functionality with its perpetual decentralized exchange (PerpDex). Through collaboration, Velar users will be able to obtain mUSD with 1:1 backing from Bitcoin ($BTC), which enables stable trading and liquidity provisions on the platform.

Planned Launch and Benefits

The planned Q2 2025 launch enables Bitcoin ($BTC) holders to borrow mUSD from their $BTC at low interest rates. The platform allows users to improve capital utilization by maintaining ownership of their $BTC while gaining liquidity options. The introduction of mUSD will allow Velar to enhance decentralized trading and provide users with a stable cryptocurrency that maintains their investment in Bitcoin.

Enhancing Secure Bridging via tBTC Infrastructure

Through its partnership with tBTC’s decentralized bridge infrastructure, Mezo will offer users secure interconnection capabilities for moving mUSD between PerpDex and Velar. This mechanism facilitates asset transfers between protocols while ensuring the security of user assets and complete protocol transparency. The bridge is essential for trading operations and transaction liquidity between the two platforms.

New Trading Options and Enhanced Capabilities

Velar plans to introduce dedicated trading pairs with mUSD as their denomination. New trading pairs under development will provide users with enhanced options and promote broader usage of mUSD throughout the Bitcoin DeFi ecosystem. This integration will enable liquidity provision, boosting trading depth and quality on the PerpDex.

The PerpDex by Velar represents the industry-leading Bitcoin-native perpetual contracts exchange. It enables traders to establish leveraged positions across different crypto assets without losing possession of their tokens. The inclusion of mUSD positions Velar to offer users more trading strategies and capital management solutions.

The mUSD issuer Mezo enhances Bitcoin productivity by providing loans and transactions to users who do not need to sell their BTC assets. Through their joint approach, both companies work to expand the decentralization of the Bitcoin ecosystem, with plans to develop new capabilities for mUSD to be utilized in Bitcoin-based decentralized finance systems.