The new asset, stUSDS, offers a 20% annual return, according to its website.
It is designed as a venture capital token and its performance will not be set in stone.
Decentralized finance (DeFi) protocol Sky, formerly known as MakerDAO, announced the launch of stUSDS, a new digital asset designed to offer returns to its investors.
According to the information available on its website, this Ethereum token offers an interest rate of 20% per yearalthough this percentage may vary.
According to the press release issued by the company, which was shared with CriptoNoticias, stUSDS is aimed at “savvy investors, advanced DeFi users, institutions and fund managers.”
Asset performance is derived from the stability fee that protocol users pay to borrow USDS, the main stablecoin of the Sky ecosystem. By depositing USDS, users receive stUSDS, which functions as a digital record of their position and accumulated value.
Rune Christensen, co-founder of Sky, stated that with this launch they seek to “forge a new path for value creation.” The protocol has seen notable growth since the launch of USDS (the updated version of DAI), whose circulating supply exceeds $7 billion.
At the time of writing, Sky’s official website indicates that The Total Value Locked (TVL) in this new product amounts to 111 million dollars.
Sky clarifies in its statement that some of its features, including rewards, are not available in certain jurisdictions such as the United States. In any case, it is worth clarifying that Access to the platform does not require any type of registration with personal identity or KYC policies (acronym in English “know your customer”).
The launch of stUSDS expands the product offering within its ecosystem, which seeks to position itself as a key infrastructure for capital formation in the decentralized finance sector.