For all the talk about crypto eating traditional finance, most of DeFi still runs on dollars. Stablecoins pegged to the US dollar dominate lending markets, liquidity pools, and payment rails.
That just changed. Bitso, the largest digital asset platform in Latin America, has launched the first onchain money market denominated in Mexican pesos, built on Morpho’s open credit protocol. The new credit markets and vaults use MXNB, Bitso’s fiat-backed peso stablecoin, to enable peso-denominated lending and borrowing without ever touching a traditional bank.
What Bitso and Morpho actually built
Morpho operates as an open credit network, essentially infrastructure that lets anyone create lending markets with customizable risk parameters. Bitso plugged MXNB into that framework. Technical documentation references a cross-currency market pairing MXNB with USDC, featuring an 86% loan-to-liquidation-value (LLTV) ratio with oracle integration.
MXNB itself is a fiat-backed stablecoin pegged 1:1 to the Mexican peso. Bitso initially launched it on Arbitrum before expanding to Base, both Ethereum Layer 2 networks. The stablecoin is also being integrated into Ripple’s XRPL Permissioned DEX to facilitate US-Mexico settlement flows.
