Understanding Mitosis Vanilla Assets: Simplifying Cross-Chain Liquidity

Overview

1. Introduction
2. What are vanilla assests
3. How vanilla assests work
4. How to use vanilla assests
5. Role of vanilla asset in mitosis
6. Conclusion

INTRODUCTION

As DeFi evolves, the need for seamless, composable liquidity across chains has become more crucial than ever. Mitosis, a next-generation liquidity coordination layer, introduces powerful mechanisms to address this need. One of its foundational components is Vanilla Assets.

In this blog, we break down what Vanilla Assets are, how they work, and why they matter in the context of cross-chain DeFi liquidity.

What Are Vanilla Assets?

Vanilla Assets are wrapped tokens that maintain a 1:1 peg to the original asset but are native to the Mitosis chain. These assets are fundamental building blocks for Mitosis' cross-chain liquidity system.

Example: If a user deposits ETH into Mitosis, they receive vETH (Vanilla ETH) on the Mitosis chain. This vETH is fungible and composable, making it usable across various DeFi protocols within the Mitosis ecosystem.

How Vanilla Assets Work

1. Deposit: A user deposits a base asset (e.g., ETH, USDC) into the Mitosis bridge.
2. Minting: Mitosis mints the corresponding Vanilla Asset (vETH, vUSDC) on the Mitosis chain.
3. Usage: These vAssets can be used in Matrix Vaults, traded, staked, or deployed across partner dApps.
4. Redemption: Users can burn vAssets to withdraw the original asset back to its native chain.

Benefits for Users

• Unified Liquidity: vAssets simplify liquidity management by offering a consistent asset format across chains.
• Gas Efficiency: Operating on Mitosis chain reduces gas costs compared to L1 or fragmented L2 operations.
• DeFi Participation: Users can access Mitosis Matrix Vaults and other incentives with their vAssets.

Vanilla Assets vs. MmiAssets and maAssets

While miAssets and maAssets are tied to vault participation, Vanilla Assets are foundational tokens that maintain asset value parity and enable smooth cross-chain activity.

Supported Vanilla Assets

Mitosis supports a wide range of base assets, which are wrapped into vAssets upon deposit. Examples include:

• vETH
• vUSDC
• vUSDT
• vWBTC

These are prioritized based on demand, liquidity depth, and ecosystem partnerships.

How to Use Vanilla Assets

Step-by-Step Guide

1. Connect to Mitosis
   Use the Mitosis UI and connect your wallet on a supported chain.
2. Deposit Your Assets
   Choose a supported base asset (e.g., ETH, USDC) and deposit it through the Mitosis bridge.
3. Receive Vanilla Assets
   You’ll receive the corresponding vAsset (e.g.,vETH, vUSDC) on the Mitosis chain.
4. Use in DeFi
   Deploy your vAssets in Matrix Vaults, stake them in campaigns, or trade across partner platforms.
5. Withdraw Anytime
   To redeem, simply burn your vAssets through the UI and receive your original asset back on its native chain.

The Role of Vanilla Assets in Mitosis

Vanilla Assets are essential to making Mitosis a unified liquidity layer. By wrapping core assets into a standardized format, Mitosis enables deeper interoperability and more efficient liquidity routing.

They form the bedrock upon which advanced DeFi features like Matrix Vaults, Cross-Chain Campaigns, and Ecosystem-Owned Liquidity (EOL) are built.

Read More on EOL

Read more on matrix vault

CONCLUSION

Vanilla Assets are not just another wrapped token, they are Mitosis' answer to DeFi’s growing complexity. By creating a simple, standardized, and composable asset format, Mitosis brings clarity, efficiency, and scalability to liquidity in the multichain world.

As Mitosis continues to expand, Vanilla Assets will play an increasingly important role in enabling users to navigate and benefit from the full power of DeFi without fragmentation or friction.

Stay tuned as we explore more about tge DeFi ecosystem broader in upcoming posts. GMITO :)