1 August 2026
mBTC Enters the Market, As Bitcoin on Ethereum Tops $8 Billion
Presently, there are 173,032 Bitcoin on Ethereum that is equivalent to 3.74% of Ethereum’s market cap, or $8.2 billion. Of which, $6 billion is in just one currency wBTC (Wrapped Bitcoin).
To take advantage of this growing market, mStable- a self-described “meta-stablecoin” company has launched mBTC today. A cryptocurrency pegged to Bitcoin stablecoins. It is the company’s second stablecoin followed by the launch of mUSD in May.
Bitcoin stablecoins are cryptocurrencies based on Ethereum which are pegged with the price of Bitcoin. The value of these stablecoins are volatile as Bitcoin but are always worth the same as Bitcoin. They are minted so that Bitcoiners can invest their wealth in Ethereum’s decentralized finance smart contracts like lending protocols and non-custodial exchanges.
Anyone can mint mBTC if they hold wBTC, RenBTC and sBTC- the three Bitcoin stablecoins based on Ethereum. And it’s possible to redeem mBTC for any of these tokens. mBTC will add Binance’s bBTC next month.
But what’s the point of mStable, a meta-stablecoin, when Ethereum’s market already has access to Bitcoin stablecoins. The benefit of mStable lies in its structure, as its value is pegged to a basket of all these Bitcoin stablecoins.
The company further explained in a blog post that if one of the stablecoins collapses, mStable holders won’t lose all their money. Unlike the other stablecoins companies on which mUSD is based, mStable claims that it is decentralized and non-custodial that means users can control their funds.
Similar to a bank account, mStable’s coins earn interest in its app. Its protocol automatically calculates the interest rate. The site says there isn’t enough data to determine the interest rate for its sole liquidity pool on SushiSwap, but it's mUSD pools generate yields of 50% to 70% annually (note: this figure is volatile).
James Simpson created mStable in 2018. The decentralized protocol launched mUSD in May and to date users have minted about $400 million of mUSD.
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