Collaterize (COLLAT) Jumps 45% Following Partnership with Midas

COLLAT, Collaterize’s native utility token, is witnessing a significant price upsurge following its ecosystem’s partnership with Midas, a leading tokenization protocol. On March 5, Collaterize posted on X that it has formed a new partnership with Midas to expand the distribution of Real-World Assets (RWA) and decentralized finance (DeFi) products.

We’re thrilled to partner with @MidasRWA to expand distribution of RWA and DeFi products.

Starting today, mTBILL representing shares of @BlackRock’s Treasury Bond Fund (short-dated U.S. debt) is minted on the Collaterize L1 and accessible in-app.https://t.co/MiH5cvBefK

— Collaterize (@CollaterizeHQ) March 5, 2025

The collaboration, also announced by Midas, aims to enhance the distribution of Midas’ tokenized yield products. Midas will integrate them into Collaterize’s layer-1 blockchain, making institutional-grade DeFi strategies more accessible to everyday users.

COLLAT Surges 45% on New Partnership 

Following the announcement, COLLAT rose sharply by 45% as investors anticipated increased adoption and utility for the platform. The token, which has been posting significant gains since last week amid ecosystem developments, saw its market cap rise to $36.3 million and daily trading volume to $11.5 million.

Collaterize is a blockchain platform focused on the tokenization of real-world assets. The ecosystem features three key components: a mobile app, a custom-built L1 solution, and a Solana-based token, COLLAT.

Through its L1 infrastructure, Collaterize provides a controlled environment for managing tokenized assets. Its mobile app ensures a user-friendly experience for both individuals and institutions. COLLAT is central to the ecosystem, facilitating transactions, reducing fees, granting holders early access to RWA presales, and participating in governance.

Designed to simplify asset tokenization, Collaterize enables users to convert tangible assets into digital tokens with enhanced security, efficiency, and accessibility. Last week, Collaterize L1 launched its mainnet, introducing features like zero gas fees, rapid 4-5 second transaction finalization, and built-in compliance tools tailored for real-world asset tokenization.

On the other hand, Midas specializes in tokenizing institutional-grade assets and bringing regulatory-compliant yield products on-chain. Its Liquid Yield Tokens (LYT) offer exposure to actively managed DeFi strategies, providing an alternative to traditional stablecoins. Midas has collaborated with asset managers such as BlackRock, RE7 Capital, and MEV Capital to create yield-bearing instruments like mTBILL, mEDGE, and mRE7YIELD. 

What the Partnership Brings

By integrating Midas’ LYTs into Collaterize L1, users will gain direct access to a new class of on-chain yield products. These include tokenized treasury and basis trade strategies (mTBILL & mBASIS) and curated DeFi yield strategies (mRE7YIELD, mEDGE, and mMEV).

According to the announcement, the partnership will begin with minting mTBILL on Collaterize’s L1, and other related products will follow in the next few days and weeks. 

“At Collaterize, we believe in making the best financial products accessible to everyone, not just crypto experts. That’s why we’re excited to announce our partnership with Midas, a leading tokenization protocol, to bring institutional-grade on-chain yield strategies to everyday users,” Collaterize said in a blog post. 

With Midas-powered RWAFi (Real-World Asset Finance) solutions rolling out in the coming weeks, the partnership is expected to drive further engagement and market activity for COLLAT and its ecosystem.

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