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Maker DeFi protocol rebrands to "Sky"

GrafaGrafa2024/08/28 01:10
By:Isaac Francis

Maker (CRYPTO:MKR), one of the pioneering DeFi lending protocols on Ethereum (CRYPTO:ETH), has officially rebranded to "Sky" following significant upgrades to its decentralised stablecoin system. 

Along with the rebranding, the DAI (CRYPTO:DAI) stablecoin has been renamed to USDS, and the MKR governance token has been replaced by the SKY token.

Under the new system, one MKR token can be exchanged for 24,000 SKY tokens, making the new tokens more accessible to a broader audience. 

The rebranding is part of Maker’s effort to position itself as a key player in the next phase of DeFi’s evolution.

The Sky protocol, as detailed in an announcement on Twitter, will allow users to obtain SKY tokens by supplying USDS to the platform through Sky.money. 

The conversion from DAI to USDS and MKR to SKY is aimed at enhancing user experience by offering a more affordable and accessible token structure. 

The protocol also supports seamless swapping of assets like ETH, USDC, and USDT into USDS.

Assets deposited with Sky remain in user custody, and users can withdraw their assets without requiring permission from the protocol. 

Sky’s decentralised governance may also enable users to earn tokens from other decentralised projects.

Rune Christensen, MakerDAO’s co-founder, described the rebranding as a move to capture the protocol's role in DeFi's next evolution. 

The changes include the introduction of Sky Token Rewards (STRs) and the Sky Savings Rate (SSR), which aim to simplify and enhance the user experience.

Additionally, Maker’s “SubDAOs” have been renamed to “Sky Stars.” 

These entities, which operate semi-independently, are designed to serve as the protocol's innovation layer while Sky focuses on securing the USDS stablecoin. 

The largest Sky Star, Spark, currently holds $2.529 billion in total value locked (TVL), making it the third-largest lending protocol in DeFi. 

Maker itself holds a TVL of $6.44 billion, solidifying its position as the fourth-largest DeFi protocol.

At the time of writing, the Maker price was $1,943.42.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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