MakerDAO has launched the "Spark Protocol," a new DeFi borrowing solution for DAI users

MakerDAO, which operates on the Ethereum blockchain and issues the stablecoin "DAI," announced the launch of the Spark Protocol, which is a lending marketplace solution for DAI users. According to a Twitter announcement, the first version of the Spark Protocol will serve as a lending marketplace for cryptocurrencies such as Ether, staked Ether (stETH), DAI, and staked DAI (sDAI). 

Ref:  Maker on Twitter

The platform has been specifically designed for DAI and aims to provide users with competitive interest rates. The Spark Protocol is also linked to Maker's D3M (Direct Deposit Dai Module) to enable communication between Maker's ecosystem and third-party lending pools. The integration between the Spark Protocol and Maker's D3M will help users to borrow DAI at more competitive rates, with starting annual rates as low as 1.11%.

The Spark Protocol promises to increase the flexibility of MakerDAO's DAI borrowing, improve liquidity, offer better interest rates to users, and provide a version of DAI that generates returns and offers more flexibility.