Stablecoin Issuer M0 (Now With $100M in Funding) is Shaking Things Up

gm, Defiers!

Today’s big story:

Here’s how M0 and Rain — whcih announced fundraising rounds of $40M and $58M this week, respectively— are different from most stablecoin companies

In other news:

Bitcoin slips under $109,000
Ethena’s USDe surges thanks to DeFi yields
HYPE holders brace for unlocks
Jupiter Lend draws $500 Million in TVL in 24 hrs
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📈 Markets in the Last 24 Hours

TICKER	VALUE	24H
Bitcoin	$108,062	-3.21 %
Ethereum	$4,323.3	-3.20 %
XRP	$2.8	-5.05 %
BNB	$857.7	-2.01 %
Solana	$203.78	-5.04 %

MessariPortals	MINDSHARE Rank	MINDSHARE % Change (7d)
		-4.23%
		4.31%
		-15.21%
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Today’s Big Story

From Tokens to Rails: M0 is Different

Stablecoins are quietly entering a new phase. For years, the story was all about brands: Tether’s ubiquity in global trading, Circle’s polish and licenses, PayPal’s entrance with PYUSD. Each new launch was framed as a competition for mindshare and market cap. But M0 is showing there’s another path: treating stablecoins as infrastructure, not as finished consumer products.

The Switzerland-based startup raised $40M, bringing its total funding to $100M, after the supply of tokens on its rails surged 215% this year to pass $300M.

In an increasingly crowded field of stables, M0 is different in that instead of issuing a single branded token, it created a base layer. Issuers back M0 native token $M at one-to-one with cash or Treasuries, while developers program the money logic on-chain. That means builders like MetaMask, Noble, and Usual can launch their own stablecoins with custom compliance filters, loyalty mechanics, or yield features, all while plugging into the same underlying liquidity.

In practice, it’s composability without chaos: diversity at the edges, stability at the core.

This is a sharp departure from the way most stablecoins are structured today. Paxos’s Global Dollar Network, for example, centralizes liquidity and governance around a single token, USDG, with distribution managed by a consortium of partners. Stripe’s Bridge, now issuing USDB, takes another route — offering a turnkey, API-first solution but keeping control firmly in-house. These models are efficient, but they concentrate power in the hands of issuers.

M0’s design flips that logic: custody of reserves remains with licensed financial institutions, but programmability lives on-chain and is governed openly. That separation aligns with new regimes like Europe’s MiCA and the U.S. GENIUS Act, which demand transparency in reserves while leaving room for innovation in digital money.

The bigger picture is that stablecoins are evolving into rails, not just tickers.

Rain, which just raised $58M, highlights the other side of this story: usability. The company is building APIs, wallets, and Visa cards that let stablecoins move through payroll, B2B transactions, and everyday purchases. If M0 is infrastructure at the base layer, Rain is proof that those dollars can actually circulate in the real world.

Taken together, these moves point to a maturing ecosystem. Stablecoins are moving beyond the question of whose brand you trust, toward a model where liquidity is shared, governance is decentralized, and dollars become programmable building blocks. Infrastructure and usability are coming together — and that may be the most bullish development for on-chain finance yet.

Stay Real,

Chris, product and stablecoins at The Defiant

This take was originally published on The Defiant’s Real World weekly newsletter. Subscribe today to read the rest of this analysis, and don’t miss the next one!

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🎬WATCH

The $10 Trillion Question: Crypto's Biggest Cycle Yet with Ellio Trades

In the latest episode of The Defiant Podcast, we sit down with Ellio Trades, Co-Founder of BlackHole, the fastest-growing decentralized exchange on Avalanche. Ellio shares his insights on the current state of the crypto market, including whether we're entering a new altcoin season or witnessing a slower, more sustainable growth cycle. He dives deep into the maturation of the crypto space, the role of institutional investors, and why this cycle could be the most significant in crypto history.

Ellio also unpacks the innovative mechanics behind BlackHole, from its V3.3 DEX model to its focus on creating deep liquidity and sustainable revenue. He explains how BlackHole is reshaping the DeFi landscape and why Avalanche was the perfect ecosystem for its launch. Watch now to gain valuable insights on the future of blockchain, decentralized finance, and the next wave of crypto adoption.

Top News in the Past 24 Hours

Bitcoin Slips Under USD 109,000 as US Inflation Data Weighs on Sentiment Crypto markets pulled back sharply as U.S. inflation data rattled risk assets, dragging total market capitalization down 3.5% to $3.83 trillion. Bitcoin (BTC) plunged below $109,000, while Ethereum (ETH) fell 4.5% to $4,340. On the institutional front, spot ETFs saw renewed inflows: $179 million into BTC and $39 million into ETH, lifting holdings to $145 billion and $29.5 billion, respectively. Why it matters: The sharp dip demonstrates crypto’s vulnerability to macroeconomic shocks like inflation. Yet, continued ETF inflows signal that institutional demand remains resilient.
Ethena’s USDe Outperforms as Stablecoin Market Surpasses USD 280 Billion The stablecoin market has surged past $280 billion for the first time, driven partly by approximately $2.8 billion in new supply added just over the past week. Ethena’s USDe has soared, growing more than all other major dollar-pegged assets. It now trails only USDC (24%) and USDT (61%). Why it matters: USDe’s meteoric rise showcases how DeFi-native stablecoins, offering compelling yield, can rapidly gain share even in a market dominated by legacy giants.
HYPE Holders Brace for Impact Ahead of Looming Token Unlocks Hyperliquid’s HYPE token, which surged over 1,000% from late 2024 until recently, faces a critical test: starting November 29, 23.8% of its total supply will begin unlocking at a rate of roughly $450 million per month. To mitigate the downside, Hyperliquid has an Assistance Fund buying back over $1.3 billion. Why it matters: A massive token unlock can trigger intense price pressure, even in bullish markets. The next few months will test market resilience.
Jupiter Lend Attracts USD 500 Million in TVL as Onchain Lending Hits All-time High Jupiter Lend, a Solana-based lending protocol launched by Jupiter, exploded onto the scene with $500 million in total value locked (TVL) within its first day. This surge helped push Solana’s overall on-chain lending market to a new all-time high of $3.55 billion. Why it matters: Jupiter Lend’s rapid adoption underscores the booming demand for decentralized lending, especially high-LTV, low-friction solutions like this one.