$USDS, the new stablecoin from Sky Protocol, has launched on Solana, aiming to boost DeFi liquidity.
Rewards and Incentives for Early Adopters
Sky Protocol offers rewards for early users and liquidity providers of $USDS. Kamino Finance users can earn up to 200,000 USDS weekly by providing liquidity for USDC/USDS pairs. Additionally, stablecoin liquidity providers will receive an extra 100,000 USDS weekly. The partnerships include projects like Drift Protocol and Save Finance, with a distribution of over 300,000 USDS weekly. These initiatives mirror those of other stablecoin issuers, such as PayPal's PYUSD.
Wormhole’s Role in USDS Multichain Expansion
$USDS features Wormhole’s Native Token Transfer (NTT) for seamless operations across Solana and Ethereum without the need for wrapped tokens. The integration also supports the cross-chain bridge for the governance token SKY between Solana and Ethereum, enhancing $USDS accessibility to a broader audience.
Sky’s Journey and the DeFi Landscape
$USDS is a rebranding of one of the oldest stablecoins, Dai (DAI), pegged to the US dollar. After rebranding from Maker last August, some confusion arose within the community, yet Sky Protocol decided to retain its new name. The release of $USDS corresponds with a time when Solana's stablecoin market share is limited to 2% compared to Ethereum's 51%.
With the launch of $USDS on Solana, Sky Protocol aims to solidify its position in the stablecoin market, presenting innovations in DeFi and continuing to grow amidst competition from major players.
