What is the Sky Protocol?

The Sky Protocol is a decentralised financial ecosystem that emerged from the rebranding of MakerDAO in 2024. It was designed to improve governance efficiency, enhance system resilience, and provide a more scalable structure for decentralised finance (DeFi). The protocol builds on the Maker framework, maintaining decentralised governance while introducing upgraded financial instruments, including the Sky Dollar (USDS) stablecoin and the SKY governance token. The Sky ecosystem offers multiple functionalities, such as the Sky Savings Rate (SSR), Sky Token Rewards (STRs), Seal Rewards, and the upcoming Activation Rewards. Also, SkyLink provides a bridge between Ethereum Layer 1 and Layer 2 networks, enabling lower-cost transactions. The Sky Protocol also features Peg Stability Modules (PSMs) to stabilise USDS and governance mechanisms that enable community-driven decision-making. The ecosystem includes independent decentralised projects called Sky Stars, such as Spark, which focuses on DeFi lending and borrowing solutions. The Sky Atlas serves as a foundational governance framework, documenting rules and processes for the ecosystem’s evolution.

Migration from MakerDAO to Sky Protocol

In August 2024, MakerDAO rebranded to the Sky ecosystem, bringing major upgrades to its decentralised financial infrastructure. The migration introduced USDS as the upgraded stablecoin for DAI holders, while MKR governance token holders had the option to convert to SKY at a rate of 1:24,000. This transition aimed to improve governance efficiency, broaden participation, and support the next phase of DeFi development.

What is Sky Dollar (USDS)?

Sky Dollar (USDS) is a decentralised stablecoin introduced by the Sky Protocol as an upgrade to DAI. Designed to maintain a soft peg to the U.S. dollar, USDS is backed by surplus collateral and serves as a core financial asset within the Sky ecosystem. It enables users to access a variety of decentralised financial services, such as savings, rewards, and governance participation, all while maintaining self-custody of their assets. USDS stability is maintained through Peg Stability Modules (PSMs), allowing direct exchanges with stablecoins like USDC and USDT at predictable rates. This mechanism ensures minimal price volatility and enhances its reliability as a medium of exchange and store of value.

What is Sky Dollar (USDS) used for?

USDS serves several key functions within the Sky Protocol, including: - **Savings and Interest Accumulation**: Users can deposit USDS into the Sky Savings Rate (SSR) module, receiving sUSDS tokens that accrue additional USDS over time. - **Earning Governance Rewards**: By supplying USDS to the Sky Token Rewards module, users earn SKY governance tokens as rewards. - **Trading and Conversion**: USDS can be exchanged for USDC, USDT, ETH, and SKY through decentralised liquidity pools. Additionally, DAI holders can upgrade their tokens to USDS at a 1:1 ratio. - **Participation in Governance**: USDS plays a role in the governance of the Sky ecosystem, enabling users to influence protocol decisions through a decentralised onchain voting system.

Who created Sky Dollar (USDS)?

Sky Dollar (USDS) was developed by the team behind MakerDAO as part of the transition to the Sky Protocol. The rebrand, led by Rune Christensen and the MakerDAO community, was initiated to address governance challenges and improve the efficiency of decentralised decision-making. The Sky Protocol retains the foundational principles of MakerDAO while introducing new financial instruments and governance mechanisms to ensure sustainability and scalability.

Sky Dollar (USDS) Markets

#	Instrument	Exchange	Benchmark Score	Price	24h Change	24h Volume	24h Trades	24h Open	24h High
1	USDS-USDT USDS_USDT	whitebit	BB	1,00USDT	0,03%	1.558.997,00USDS	532	1,00USDT	1,00USDT
2	USDS-USDT USDSUSDT	bybit	A	1,00USDT	-0,01%	184.353,87USDS	1013	1,00USDT	1,00USDT
3	USDS-USDT USDS-USDT	okex	A	1,00USDT	0,00%	70.165,43USDS	34	1,00USDT	1,00USDT
4	USDS-USD USDS-USD	coinbase	AA	0.9999USD	0,01%	45.188,30USDS	130	0.9998USD	1,00USD
5	USDS-USD USDSUSD	kraken	AA	0.9994USD	-0,04%	3574,36USDS	9	0.9998USD	0.9998USD
6	USDS-USDT USDS_USDT	gateio	A	1,00USDT	0,08%	2104,50USDS	25	1,00USDT	1,00USDT
7	USDS-USDT USDS-USDT	kucoin	BB	0.9992USDT	-0,26%	1268,36USDS	23	1,00USDT	1,00USDT
8	USDS-USD USDS_USD	cryptodotcom	AA	1,00USD	0,00%	0USDS	0	1,00USD	1,00USD
9	USDS-EUR USDSEUR	kraken	AA	0.8947EUR	0,14%	22,31USDS	3	0.8935EUR	0.8947EUR
10	USDS-USDC USDSUSDC	cexio	BB	1,00USDC	0,00%	18,00USDS	1	1,00USDC	1,00USDC
11	USDS-USD USDSUSD	cexio	BB	1,00USD	0,01%	16,50USDS	1	1,00USD	1,00USD
12	USDS-USDT USDSUSDT	cexio	BB	1,00USDT	0,01%	15,00USDS	1	1,00USDT	1,00USDT
13	USDS-USDT usds_usdt	lbank	C	1,00USDT	-0,02%	1.015.864,80USDS	84.435	1,00USDT	1,00USDT
14	USDS-USDT USDSUSDT	toobit	C	1,00USDT	-0,02%	129.166,00USDS	7086	1,00USDT	1,00USDT
15	USDS-USDT USDS_USDT	coinw	-	1,00USDT	0,03%	86.181,90USDS	3309	1,00USDT	1,00USDT
16	USDS-USDT USDS_USDT	bitunix	C	1,00USDT	-0,01%	70.616,00USDS	6046	1,00USDT	1,00USDT
17	USDS-USDT USDSUSDT	mexc	C	0.9986USDT	0,03%	56.339,14USDS	2990	0.9983USDT	1,00USDT
18	USDS-USDT USDSUSDT	bitrue	D	1,00USDT	0,00%	47.353,40USDS	4787	1,00USDT	1,00USDT
19	USDS-USDT USDS_USDT	bydfi	-	0.9987USDT	0,04%	36.312,78USDS	2927	0.9983USDT	1,00USDT
20	USDS-USDT usds_usdt	xtpub	-	1,00USDT	0,00%	33.764,63USDS	3020	1,00USDT	1,00USDT
21	USDS-USDT USDS-USDT	bingx	D	1,00USDT	-0,03%	33.505,27USDS	4832	1,00USDT	1,00USDT
22	USDS-USDT usds_usdt	digifinex	D	1,00USDT	0,03%	19.120,40USDS	3263	1,00USDT	1,00USDT
23	USDS-USDT usdsusdt	huobipro	C	0.9871USDT	1,30%	2467,67USDS	70	0.9744USDT	0.9990USDT
24	USDS-KRW KRW-USDS	upbit	B	1330,00KRW	-1,55%	1286,16USDS	29	1351,00KRW	1351,00KRW
25	USDS-USDT USDT-USDS	upbit	B	0.9785USDT	0,00%	0USDS	0	0.9785USDT	0.9785USDT
26	USDS-BRL USDS-BRL	mercadobtc	C	5,37BRL	4,84%	843,26USDS	103	5,12BRL	5,80BRL
27	USDS-KRW USDS_KRW	bithumbkorea	-	1325,00KRW	-0,23%	221,82USDS	9	1328,00KRW	1332,00KRW
28	USDS-KRW usds_krw	korbit	C	1340,00KRW	0,00%	0USDS	0	1340,00KRW	1340,00KRW
29	USDS-USDT USDSUSDT	bequant	C	1,00USDT	0,00%	0USDS	0	1,00USDT	1,00USDT
30	USDS-KRW USDS_KRW	coinone	C	1333,00KRW	0,00%	0USDS	0	1333,00KRW	1333,00KRW
31	USDS-THB THB_USDS	bitkub	C	32,12THB	0,00%	0USDS	0	32,12THB	32,12THB
32	USDS-USDT USDS_USDT	poloniex	C	0.9414USDT	0,00%	0.4063USDS	1	0.9414USDT	0.9414USDT