The Maker Protocol is working to bring decentralized finance (DeFi) to the masses by officially rebranding to Sky and revealing the name of its upgraded stablecoin and native governance token.
Maker, the oldest DeFi lending protocol, has rebranded Dai (DAI), the world’s largest decentralized stablecoin, to USDS as part of a rebranding effort.
The protocol also introduced the Sky (SKY) native governance token, an upgraded version of the Maker (MKR) token, into the broader Sky ecosystem.
MakerDAO co-founder Rune Christensen argues that the rebranding effort is a step toward signaling “the next evolution of DeFi.”
In a statement shared with Cointelegraph, Christensen wrote:
“The protocol is built with a focus on simplicity and ease of use. Users will be able to benefit from innovations such as Sky Token Rewards (STR) and Sky Savings Rate (SSR) if they are in an eligible jurisdiction.”
Christensen added that like MakerDAO, Sky Protocol is decentralized, community-governed, and non-custodial.
Maker rebrands to Sky. Source: Sky
The continued improvement of DeFi protocols could help attract more mainstream users away from centralized exchanges (CEXs).
For Sky, the rebranding effort aims to make the protocol more accessible, Christensen told Cointelegraph.
“Upgrading MKR to SKY at a ratio of 1:24,000 will allow a much larger number of people to access the Sky ecosystem. A larger supply of SKY will improve the experience for those who want to purchase more than a portion of the tokens…”
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Maker SubDAOs Rebranded to Sky Stars
As part of the rebranding effort, Maker SubDAO will become Sky Stars, remaining an independent decentralized project that connects the Sky ecosystem with its own business model and autonomy.
The first such subDAO to be launched is Spark, an open-source decentralized liquidity protocol that currently offers users a 6% yield on their DAI tokens and allows users to borrow USDS at 7% interest.
Spark.fi Deposits and Loans page. Source: Spark.fi
Each Sky Star sub-DAO will be able to autonomously issue governance tokens, manage its treasury and community, and independently implement DAO-specific decisions, Christensen told Cointelegraph:
“Sky Stars can innovate, experiment, and take more risks, while Sky Protocol itself can focus solely on maintaining the value and security of the USDS stablecoin. Core Sky Governance protects against tail-end risks, while Stars specializes in doing business in the trenches.”
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Lending remains the second-largest protocol category in DeFi.
Spark is one of the second largest protocol categories in DeFi, lending.
According to DeFiLlama data, there are currently 443 DeFi lending protocols, with a total value locked (TVL) of over $33.4 billion. This is the second largest protocol category, behind liquid staking, which is over $44.3 billion.
Of the 443 lending protocols, Spark is currently the third largest, with a TVL of $2.66 billion, down about 14% from last month.
Top 5 DeFi Lending Protocols. Source: DefiLlama
Aave remains the leading DeFi lending protocol, with TVL exceeding $12.1 billion, down more than 5% from the previous month.
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