2023-05-09
MakerDAO launches Spark Protocol, a
lending and borrowing platform that emphasizes on the usage of DAI as a mechanism
for lending and borrowing.
Spark - Maker-Powered Lending Market (sparkprotocol.io)
MakerDAO is a decentralized
organization that allows users to borrow, lend, and create stablecoin called DAI. MakerDAO
consists of two main components: Maker Vaults and Dai tokens. Maker Vaults are
smart contracts that allow users to lock up collateral assets, such as ETH or
other ERC-20 tokens, and generate Dai tokens in return. Dai tokens are
stablecoins that maintain a soft peg to the US dollar through a system of
incentives and market mechanisms. Users can use Dai tokens as a medium of
exchange, a store of value, or a unit of account, without relying on
centralized intermediaries or trusting third parties.
Spark Protocol supports DAI,
USDC, sDAI, ETH, wstETH. Spark Protocol has introduced a new product called Saving
Dai (sDAI). sDAI is a tokenized version of staked sDai. Currently saving DAI has just 1.1% yield.
