MakerDAO Rebrands As ‘Sky’: Two New Tokens To Be Launched On Sept 18
August 28 2024 - 4:30AM
NEWSBTC
In a move to bolster the usage and adoption of its decentralized
finance (DeFi) lending platform, MakerDAO is undergoing a
significant rebranding. The lending protocol, founded by Rune
Christensen in 2014, will now be known as ‘Sky’, a shift aimed at
appealing to a wider user base. MakerDAO Reinvents Itself As ‘Sky’
MakerDAO was one of the earliest applications in the DeFi space,
allowing users to trade, lend, and borrow digital assets directly
without traditional financial intermediaries. As Bloomberg
reports, the platform’s success in the early days of crypto earned
it a loyal following among the industry’s most seasoned
participants, the so-called “OGs” or “original gangsters.” Related
Reading: Toncoin (TON) Price Performance 5 Days Post-Durov Arrest:
What’s Next? However, like many DeFi projects, MakerDAO has faced
challenges in recent years, with its total value locked (TVL)
peaking at $20 billion in 2021 before declining in the wake of the
broader crypto market downturn. In addition, the market
capitalization of its DAI stablecoin, a key platform component,
dropped from its highs of around $10 billion earlier this year.
Christensen acknowledged that while MakerDAO had found “solid
footing” within the core crypto community, the real challenge was
“how to become more appealing and available to the mass market.”
This realization has led to the decision to rebrand the platform as
Sky. New Reward-Bearing Tokens According to Bloomberg, Sky will
launch two new tokens on September 18 as part of the rebranding
effort. Existing holders of MakerDAO’s MKR and DAI tokens can
upgrade to the new upcoming USDS and SKY tokens, which will offer
reward-based incentives for simply holding the assets within the
Sky ecosystem. The new Sky.money app, also set to debut on
September 18th, will be the primary platform for accessing these
new tokens and the associated rewards. Christensen emphasized
that the existing MKR and DAI tokens will remain in circulation,
allowing users to continue using them if they prefer, as the new
tokens are primarily targeted at attracting new users to the
platform. Related Reading: Dogecoin Set For A Drop: Bearish Forces
Eye $0.0914 Target The rebranding initiative is part of MakerDAO’s
Endgame Plan, a roadmap ratified in 2022 that aims to increase the
protocol’s resilience and drive accelerated growth.
Christensen expressed the hope that the Sky rebrand will help DeFi
“stop feeling like crypto and start feeling like finance got a lot
better,” emphasizing the focus on highlighting the benefits and
ease of use over the “constraints that have historically deterred
mainstream adoption.” At the time of writing, MKR is trading at
$2,123 following the news of the protocol’s rebranding, continuing
a 10% surge in the past week. This outperforms the largest
cryptocurrencies on the market, such as Bitcoin and Ethereum, which
recorded losses in the same period. Featured image from DALL-E,
chart from TradingView.com
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