Final Summary & Appendices
Final Summary
Mynt (USDm) is a cryptographically verifiable, over-collateralized stablecoin system architected for the modular, high-performance execution environments of Monad and MegaETH. It is purpose-built to provide programmable, censorship-resistant, and privacy-preserving dollar liquidity within composable DeFi ecosystems.
Drawing from the foundational mechanics of vault-based CDP systems—such as those employed by DAI, GHO, and Beraborrow—USDm introduces a post-transfer stablecoin architecture, where balances can be proven rather than moved. This design allows for confidential collateralization, verifiable but private disbursements, and state-dependent interactions without exposing transactional metadata.
Unlike legacy stablecoins, USDm is deployed natively on throughput-optimized chains like Monad and MegaETH, enabling low-latency zk-proof verification and real-time liquidations without sacrificing cryptoeconomic integrity.
Core Protocol Characteristics
Peg Mechanism
Soft-pegged to USD via arbitrage and oracle-informed market-making
Collateral Base
MON, aprMON, shMON (Monad-native LSTs); ETH (on MegaETH only)
Minting Model
Over-collateralized vaults with asset-specific LTV and liquidation logic
Liquidation Engine
Permissionless, real-time, and oracle-triggered with isolated vault risks
Oracle Integration
Price feeds via Pyth Network (relayed through Hermes)
Privacy Framework
zk-enabled via SP1 zkVM, allowing wUSDm users to submit zero-knowledge proofs of ownership or action, without revealing address, balance, or transfer flow
Governance Structure
Multisig-controlled with roadmap toward DAO-managed, proof-upgradable parameters
Security Model
Audited smart contracts, emergency circuit breakers, and structured bug bounty framework
Liquidity Provisioning
Ecosystem-led DEX integrations, LP bootstrapping, and composable deployments across both Monad and MegaETH
Developer Tooling
Modular contract architecture, vault SDKs, SP1 proof kits, indexers, and testnet environments
Roadmap Highlights
Private DeFi Primitives: Enable fully-private DEXs, lending protocols, and DAOs using wUSDm proofs.
Proof Composability Layer: Expand SP1 circuit registry to allow application-specific attestations (e.g., zk-repayments, zk-airdrop eligibility).
Interchain Proof Propagation: Facilitate cross-chain zk-validations between Monad, MegaETH, and Ethereum L1 without token bridges.
DAO Transition: Migrate parameter control to an on-chain governance layer verified through SP1-submitted proposal proofs.
zkUX Standardization: Release frontend libraries and wallet tooling for SP1-based interaction flows, including gas-abstracted proof submissions.
Glossary of Key Terms
USDm: The base over-collateralized stablecoin, ERC-20 compliant, composable and transferrable.
wUSDm: A wrapped variant of USDm used to generate and verify SP1 proofs for private interactions.
SP1 zkVM: A zero-knowledge virtual machine developed by Succinct, allowing the generation of cryptographic proofs over arbitrary program logic.
ProofManager: On-chain verifier contract for SP1 proofs, used to validate attestations or state transitions.
Vault: A smart contract where users deposit collateral to mint USDm. Vaults are asset-specific and risk-isolated.
LTV (Loan-to-Value): The ratio of USDm minted to the dollar value of deposited collateral.
Liquidation Threshold: The collateralization ratio below which a vault becomes eligible for liquidation.
Pyth Network: An oracle network providing real-time asset pricing, integrated via Hermes for reliable feed propagation.
MegaETH: A high-throughput Ethereum-compatible execution environment, used for ETH-only vaults and scalable proof verification.
Monad: A low-latency, parallelized smart contract platform where USDm’s full suite of composable privacy primitives are deployed.
USDm marks the evolution of stablecoins from passive value carriers to active proof-native instruments—enabling verifiability without traceability, and programmability without exposure. It does not merely replicate the trust assumptions of fiat off-chain; it redefines what privacy and stability mean on-chain.
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