According to CoinDesk, M^0, a protocol enabling institutions to mint stablecoins backed by U.S. Treasury bills, has partnered with Fireblocks to provide cryptocurrency custody services to its issuers. This collaboration aims to streamline the process for institutions using M^0 to mint cryptodollars by integrating Fireblocks' key-management system for secure and efficient operations.
M^0 Labs CEO Luca Prosperi emphasized the importance of creating institutional-ready modules for minters and validators. He noted that Fireblocks' sophisticated workflow and key management systems make it an ideal partner for handling crypto assets. The protocol, governed by the decentralized M^0 Foundation, allows users to manage stablecoins with flexible yield-sharing options, addressing a gap in existing stablecoin systems where yield typically goes to either token issuers or holders.
The success of stablecoin issuers like Tether and Circle has highlighted the need for more adaptable systems. M^0 offers a unique business model that enables users to wrap stablecoins and choose how to distribute yield, whether keeping it entirely or sharing it based on specific criteria. This flexibility aims to incentivize ecosystem participation without relying on cumbersome paper-based contracts.
M^0 has accumulated a float of approximately $30 million, with reserves independently validated on-chain every 30 hours. However, the service is not available to users in the U.S.
