- Sky Ecosystem Plans on Solana
- Benefits of Launching on Solana
- Current State of USDS
Sky Ecosystem, formerly known as MakerDAO, is developing a proposal for launching on Solana as part of its move towards a multi-chain strategy after years of relying on Ethereum.
Sky Ecosystem Plans on Solana
A Sky Ecosystem developer presented a proposal to extend lending pools to Solana. The launch will include utilizing the new USDS token, which replaces DAI and acts as a bridge into the Solana ecosystem through Wormhole. The Solana version of Sky Ecosystem will also carry the SKY token and staked USDS (sUSDS).
Benefits of Launching on Solana
Solana allows for most applications to run and scale on Layer 1 (L1). The endgame for Sky is the SkyLink protocol, first to be built on Ethereum. Using Wormhole is the possible short-term solution to bring another decentralized application to Solana. Solana already hosts relatively smaller DeFi protocols, and Sky could significantly boost the value locked in the Solana ecosystem.
Current State of USDS
Just days after going live, USDS now carries $400M in value. This token inherits DAI’s collateral structure and has become a primary asset for Sky Ecosystem. The swapping process has so far minted 23% more USDS compared to the collateralized DAI. Sky is also unwinding its WBTC collateral process.
The launch of Sky Ecosystem on Solana could significantly increase the platform's value and strengthen its position in the DeFi market.
