Summary:
The decentralized stablecoin protocol MakerDAO has committed to converting 0 Million of its DAI reserves into bonds and U.S. treasuries. This marks the decentralized autonomous organization (DAO)’s the first investment in high-quality government debt. As MakerDAO explained over Twitter, MKR holders voted to deploy its peg stability module’s USDC on liquid bonds, using its recently created real-world asset Maker Vault. The allocation will consist of 20% investment-grade corporate bonds, and 80% U.S. treasuries. Only 1 million DAI worth of collateral has been deployed thus far, with the remainder requiring more executive votes to reach the newly established 500 million DAI debt ceiling. The move comes amid a broader effort among stablecoin issuers to prove their
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Andrew Throuvalas considers the following as important: AA News, makerdao, Stablecoins, us
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The decentralized stablecoin protocol MakerDAO has committed to converting 0 Million of its DAI reserves into bonds and U.S. treasuries. This marks the decentralized autonomous organization (DAO)’s the first investment in high-quality government debt. As MakerDAO explained over Twitter, MKR holders voted to deploy its peg stability module’s USDC on liquid bonds, using its recently created real-world asset Maker Vault. The allocation will consist of 20% investment-grade corporate bonds, and 80% U.S. treasuries. Only 1 million DAI worth of collateral has been deployed thus far, with the remainder requiring more executive votes to reach the newly established 500 million DAI debt ceiling. The move comes amid a broader effort among stablecoin issuers to prove their
Topics:
Andrew Throuvalas considers the following as important: AA News, makerdao, Stablecoins, us
This could be interesting, too:
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The decentralized stablecoin protocol MakerDAO has committed to converting $500 Million of its DAI reserves into bonds and U.S. treasuries.
This marks the decentralized autonomous organization (DAO)’s the first investment in high-quality government debt.
- As MakerDAO explained over Twitter, MKR holders voted to deploy its peg stability module’s USDC on liquid bonds, using its recently created real-world asset Maker Vault.
- The allocation will consist of 20% investment-grade corporate bonds, and 80% U.S. treasuries.
- Only 1 million DAI worth of collateral has been deployed thus far, with the remainder requiring more executive votes to reach the newly established 500 million DAI debt ceiling.
- The move comes amid a broader effort among stablecoin issuers to prove their assets are backed by reliable reserves.
- Tether – the world’s largest stablecoin issuer – has repeatedly decreased its exposure to commercial paper this year. Its latest update suggested its commercial paper is down to just $50 million, while U.S. Treasuries comprise 58.1% of its $68 billion portfolio.
- Likewise, Circle and Paxos – custodians of USDC and BUSD respectively – revealed in July that their reserves are solely backed by either cash or U.S. government debt.
- Historically, MakerDAO has operated differently. In an effort to stay decentralized, its reserves have been backed by a basket of various cryptocurrencies. These have included other stablecoins like USDC, as well as volatile cryptocurrencies like Bitcoin and Ethereum.
- However, the DAO has been looking to become less dependent on USDC after Circle revealed its censorious hand in August – freezing USDC locked inside the privacy protocol TornadoCash.
- At the time, MakerDAO’s founder proposed moving the DAO’s USDC reserves entirely into Ethereum.