Sky, previously referred to as Maker, has launched its USDS stablecoin on Solana to introduce the community’s “first major Defi-native stablecoin.”
In response to a Nov 19 announcement, USDS is anticipated to reinforce lending, borrowing, and buying and selling on the community’s main DeFi platforms, with the launch marking step one in Sky’s technique to “increase Solana’s DeFi liquidity and TVL.”
With USDS, Sky hopes to command a share of the rising decentralized finance market on Solana, which recorded an uptick in every day buying and selling volumes and whole worth locked for the reason that begin of the 12 months. In response to DefiLlama, Solana’s TVL had grown from $1.4 billion on January 1 to over $8.3 billion when writing, whereas its every day buying and selling quantity just lately hit an all-time excessive of $7.14 billion.
“Sky’s vision is aligning with Solana’s strong ecosystem of consumer apps, composability, and high-performance technology,” the announcement added.
The mixing of USDS on Solana is supported by Wormhole’s Native Token Switch, which permits the stablecoin to grow to be natively multichain, accessible on each Solana and Ethereum with out the necessity for wrapped tokens, guaranteeing a unified provide throughout chains. NTT additionally allows Sky to bridge its governance token, SKY, to the Solana community.
As part of the launch, Sky is incentivizing early adoption by providing rewards for customers and liquidity suppliers participating with USDS throughout 4 Solana DeFi protocols.
Customers of Kamino Finance will obtain 200,000 USDS weekly for offering liquidity to USDC/USDS pairs, together with a further 100,000 USDS for stablecoin suppliers. Drift Protocol customers supplying USDS might be eligible for 100,000 USDS in weekly rewards, whereas Save Finance contributors can earn a share of 400,000 USDS distributed month-to-month for his or her contributions to stablecoin liquidity.
Sky additionally plans to introduce SkyLink, a cross-chain bridge connecting USDS and sUSDS, its savings-focused model of the stablecoin. This rollout, topic to governance approval, is anticipated to develop cross-chain operability for USDS holders.
As a dollar-pegged stablecoin, USDS was launched in September and is a rebrand of the Dai stablecoin. At the moment, it’s the third-largest stablecoin by market capitalization, valued at $5.23 billion, competing with main gamers like Tether’s USDT and Circle’s USDC.
Collectively, the 2 stablecoins account for greater than 90% of the general stablecoin market worth, which stands at $184.7 billion per DefiLlama.
In associated information, Sky just lately tried to revert to the Maker branding following confusion round its rebranding, however the proposal was rejected.
