Sky (MakerDAO) and Aave announce collaboration to launch USDS on Aave

Aave is the largest lending platform and Sky is the issuer of the DAI stablecoin, which is now rebranded as USDS. USDS (Sky Dollar) is the upgrade version of DAI.

Aave Labs on X: "As @StaniKulechov says, DeFi protocols have matured, showing resilience and market fit. By working together, DeFi can become the backbone of all finance, enabling unprecedented access and propelling new use cases. We are no longer building on the sidelines; DeFi can empower all" 

The Sky Aave Force initiative is a collaboration between Aave Labs and Sky (formerly MakerDAO) aimed at boosting decentralized finance (DeFi) adoption and bridging the gap between DeFi and traditional finance (TradFi).

Key highlights of this initiative include:

Launch of USDS and sUSDS tokens on Aave V3 to increase liquidity and user participation.

Incentive programs such as a pre-farming airdrop distributing 3.33 million SPK tokens monthly to sUSDS suppliers.

Phoenix Labs proposed the distribution of 3.33 million SPK tokens per month to incentivize an Aave V3 market for Sky’s sUSDS.

Integration of a Direct Deposit Module (D3M) for USDS into the Aave Lido Market with an initial debt limit of $100 million.

This initiative aims to make financial systems more inclusive and accessible, leveraging the strengths of both DeFi and TradFi.

The Sky Aave Force initiative aims to drive mass adoption and close the gap between Decentralized Finance and Traditional Finance.