Magic Internet Money (MIM) is a decentralized stablecoin operating within the Ethereum blockchain, associated with the Abracadabra.money platform. MIM is backed by interest-bearing tokens used as collateral, and it is pegged to the USD. The platform simplifies cryptocurrency lending, allowing users to mint MIM using their assets.
MIM operates on the Ethereum blockchain using smart contracts. Users deposit interest-bearing tokens (i.e., tokens earning yield) as collateral on the Abracadabra.money platform. These tokens continue to accrue interest while being collateralized, allowing users to borrow MIM. The platform charges fees that include interest, borrowing, and a portion of the liquidation fees, maintaining a stable borrowing environment.
MIM serves multiple use cases within the DeFi ecosystem:
MIM was launched in 2021 on the Abracadabra.money platform by co-founders Daniele Sesta, 0xMerlin, and Squirrel. The platform quickly expanded across chains including Arbitrum, FTM, and AVAX. MIM's unique model using Kashi lending technology (from SushiSwap) and SPELL governance token have played vital roles in its adoption. It maintains a strong market presence and has established a supportive community known as the "Frog Nation."