Sky Protocol’s Rebranding and Stablecoin Transition
Since Sept. 17, 2024, the supply of USDS, the native stablecoin of Sky Protocol (formerly Maker), has grown from 98.5 million to 2.32 billion, representing a 135% increase in five months.
In contrast, the supply of DAI, the stablecoin previously managed by MakerDAO, has decreased from 5.29 billion to 3.62 billion, reflecting a 31.5% decrease in the same period. This shift highlights the transition from DAI to USDS as Sky’s flagship USD-backed stablecoin.
For context, in August 2024, the Maker ecosystem underwent a major rebrand to become Sky Protocol. A key element of this rebrand was the launch of USDS with more robust collateral options and refined peg-management strategies. By adopting the name Sky, the protocol signaled a renewed focus on accessibility and growth.
The old Maker brand was closely associated with early DeFi and specialized circles, while the shift allowed Sky to broaden its audience and pitch its stablecoin solution to newer participants and traditional financial players.
Part of the rebrand also included an overhaul of some smart contracts and governance processes. The emphasis has been on easier community participation via improved voting tools, predictable issuance, and enhanced mechanisms to keep USDS’s peg stable under varying market conditions.
The pivot to USDS seems to resonate with both existing MakerDAO users and newcomers, as evidenced by the increase in USDS supply and decrease in DAI.
This is an excerpt from The Block’s Data & Insights newsletter. Dig into the numbers making up the industry’s most thought-provoking trends.
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