The recent 112% liquidation event in Solana (SOL) shocked traders and highlighted how fragile even the most popular altcoins can be during moments of extreme volatility. For many investors, the search has shifted toward platforms that promise both short-term gains and sustainable growth. One project capturing attention in this new wave of investing in crypto is Mutuum Finance (MUTM) , a decentralized lending and borrowing platform now in its presale Phase 6. With the token price at just $0.035, around $16.53 million already raised, more than 53% of its 170 million token allocation sold, and over 16,650 holders onboarded, the project is generating strong momentum. The urgency is clear: Phase 7 will lift the price to $0.040, a 15% jump, making this the last chance for investors to secure discounted entry. SOL’s 112 liquidation Recently, Solana (SOL) experienced a dramatic liquidation event, with reports highlighting a 112,382% liquidation imbalance in one hour — a rare and extreme flash move where short sellers were “wrecked” as price volatility spiked. In more grounded terms, over a span of 48 hours, SOL also saw $112 million in liquidations as leveraged long positions were overwhelmed amid a ~12% price drop. The steep drawdown underscores just how tightly crowded some trades had become and how vulnerable leveraged bets are in volatile conditions. As a result, markets may now see elevated caution around SOL; unless stability returns, further forced liquidations could exacerbate downside pressure. Mutuum Finance (MUTM): reinventing DeFi safety One of the most critical lessons from SOL’s liquidation is that volatility destroys value quickly when proper safeguards are not in place. Mutuum Finance (MUTM) is addressing this directly with its $1-pegged stablecoin innovation. Instead of printing tokens endlessly, the platform will only mint when users borrow against collateralized assets like ETH or stablecoins. When loans are repaid or liquidated, those tokens are burned, ensuring that supply and demand remain in balance. To maintain the peg, Mutuum Finance (MUTM) will enforce issuer limits and governance-controlled interest rates, raising borrowing costs when the price drops below $1 and lowering them when it climbs above. Arbitrage traders will have the incentive to step in, buying or selling to stabilize value. All loans will remain overcollateralized, and an automatic liquidation mechanism will activate when collateral thresholds are breached. This system ensures that even during periods of extreme volatility, liquidity remains predictable and the protocol remains safe. For traders wondering why is crypto going up after every major correction, the answer often lies in projects like this that are designed with long-term resilience in mind. Accurate price feeds are equally vital to safeguard against destabilization. Mutuum Finance (MUTM) will employ Chainlink oracles as its primary pricing system, while fallback oracles, aggregated feeds, and decentralized exchange time-weighted averages will provide additional layers of defense. This infrastructure guarantees reliable and transparent price discovery, preventing under- or overvalued liquidations that harm both lenders and borrowers. Building demand through lending, staking, and buybacks While many projects offer flashy promises, Mutuum Finance (MUTM) is grounding its future growth in mechanisms that drive consistent demand. Its dual lending framework includes peer-to-contract (P2C) pools for established assets like ETH and USDT, where lenders will earn interest automatically, and peer-to-peer (P2P) markets for more speculative tokens like SHIB or FLOKI, where traders will negotiate terms directly. This separation will create a balanced ecosystem that caters to both conservative and high-risk investors. Liquidity management will further reinforce this model. Borrow interest rates will adjust dynamically based on pool utilization: when liquidity is scarce, rates will rise to attract new deposits, while surplus liquidity will lower borrowing costs to keep capital moving. Combined with asset-specific loan-to-value ratios and liquidation thresholds, this creates a balanced system where both lenders and borrowers operate under predictable, safe conditions. The platform will also drive value through staking and buybacks. Users will stake mtTokens to earn MUTM rewards, while protocol revenues will fund open-market buybacks of MUTM. These repurchased tokens will then be redistributed to stakers, aligning supply reduction with user incentives. For investors tracking crypto prices today, mechanisms like these are key drivers of sustained token appreciation. Credibility is another crucial factor in adoption. Mutuum Finance (MUTM) has already undergone a CertiK audit, achieving a TokenScan score of 90.00 and a Skynet score of 79.00. In addition, the team has committed to a $50,000 bug bounty program to encourage ongoing security testing, alongside a $100,000 giveaway campaign where 10 winners will each receive $10,000 worth of MUTM tokens. These steps show investors that the project is prioritizing transparency and safety alongside growth. Looking ahead, people who got in on the presale early have already made a lot of money. Investors who bought in during Phase 2 at $0.015 now have a return of 2.3X their money, with the price at $0.035. Traders who want quick growth and a safe base have a clear road ahead. Phase 7 is estimated to cost $0.040, and the post-listing aim is between $0.06 and $0.07 as the beta platform launches, staking awards start to roll out, and exchange listings commence. Mutuum Finance (MUTM) is the kind of endeavor that will shape the next phase of DeFi. It has stablecoin mechanics that manage risk, accurate price discovery, liquidity that is driven by use, and staking and buybacks that increase value. This presale opportunity is becoming one of the most interesting in the market for people who want to do more than just survive and get a 150% return on their investment after events like Solana (SOL)’s liquidation. For more information about Mutuum Finance (MUTM) visit the links below: Website: https://www.mutuum.com Linktree: https://linktr.ee/mutuumfinance The post After SOL’s 112% liquidation, traders seek 150% ROI—DeFi the answer? appeared first on Invezz
