Protocol Maker rebrands and announces the launch of new versions of DAI and MKR

What’s new? The team of the Ethereum blockchain-based DeFi protocol MakerDAO has made a number of upgrades in line with Endgame’s initiative to increase the decentralization of the project. Thus, the protocol changed its name to Sky and also introduced updated versions of its DAI algorithmic stablecoin and MKR governance token. The new assets, whose conversion is voluntary and reversible, received the tickers USDS and SKY, respectively.

Source: X.com

What else is known? DAI and MKR will remain in circulation unchanged, and the new tokens will be issued in parallel. Holders will be able to exchange DAI for USDS at a 1:1 ratio, with each MKR token exchangeable for 28 000 SKY tokens.

The new assets will be released on September 18, and holders can keep the old tokens or exchange them for the new ones.

On the back of this news, the MKR exchange rate rose by 4%, outperforming bitcoin and the CoinDesk 20 index (CD20) crypto index.

The MKR token ranks 46th in the overall cryptocurrency ranking by market capitalization with over $1,97 billion and is trading at $2119, having added 8,2% over the week.

DAI is the largest USD-pegged algorithmic stablecoin in the crypto market. In terms of capitalization, it is second only to the centralized stablecoins USDT from Tether and USDC from Circle. In the overall cryptocurrency ranking, DAI is in 22nd place with over $5,3 billion.

The issuance of new tokens in addition to the existing ones was approved by the Decentralized Autonomous Organization (DAO), which manages the protocol, following a seven-day vote.

According to the developers’ plan, the ability to receive 28 000 SKY tokens in exchange for 1 MKR will democratize the decision-making process for project development, as both versions of the token can be used to participate in voting.

In addition, the new assets will expand staking and farming yield opportunities for holders within the ecosystem.

According to MakerDAO/Sky founder Rune Christensen, the protocol aims to increase rewards for USDS and SKY holders through a new user interface, the Sky.money app. That said, the rewards feature will be limited to certain jurisdictions, including the US and the UK.

The upgrade also involves splitting the platform into smaller independent organizations with their own tokens. These organizations, previously called SubDAOs, will be called Stars as part of the rebranding. The first such Star will be Spark, a Maker/Sky-based lending platform.

The complete transformation of the protocol will be completed within the next few months.