{"id":178953,"date":"2023-10-22T15:57:19","date_gmt":"2023-10-22T10:27:19","guid":{"rendered":"https:\/\/dripp.zone\/news\/?p=178953"},"modified":"2023-10-22T15:57:19","modified_gmt":"2023-10-22T10:27:19","slug":"maker-annualized-revenue-soars-past-200m-to-new-all-time-high-crypto-news","status":"publish","type":"post","link":"https:\/\/dripp.zone\/news\/maker-annualized-revenue-soars-past-200m-to-new-all-time-high-crypto-news\/","title":{"rendered":"Maker Annualized Revenue Soars Past $200M to New All-Time High – Crypto News"},"content":{"rendered":"

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Stablecoin issuer Maker Protocol\u2019s annualized revenue surged to a new all-time high of $203 million yesterday, according to Makerburn.com data<\/a>.<\/p>\n

The previous peak was $172.3 million in May 2021.<\/p>\n

Maker<\/a><\/span> is a stablecoin<\/a><\/span> issuing platform on Ethereum<\/a><\/span>, governed by the MakerDAO community formed of MKR token holders. The supply of the protocol\u2019s stablecoin, DAI<\/a><\/span>, reached a new yearly high of $5.6 billion, per Makerburn.com data<\/a>.<\/p>\n

Maker makes money through fees paid by users for borrowing DAI, and fees earned in case of a liquidation of a borrowing position.<\/p>\n

The surge in revenue came amid increased deposits of tokenized real-world assets (RWAs) for minting DAI and higher yields for DAI holders (which, in turn, attracts even more collateral).<\/p>\n

Tokenized RWAs are crypto tokens backed by physical or real-world financial assets such as stocks, government bonds, real estate, or art.<\/p>\n

MakerDAO\u2019s RWA deposits have soared past $3 billion, making up 42.7% of the protocol’s total deposits of $7.54 billion, per DeFiLlama data<\/a>.<\/p>\n

S\u00e9bastien Derivaux, MakerDAO\u2019s former real-world finance lead and co-founder of Steakhouse Financial, told Decrypt <\/i>that MakerDAO is, “reaping the benefits of years of work on RWA,” adding that, “revenues will increase if T-bills yields increase.”<\/p>\n

Treasury bills are currently raking in 5% for holders as the Federal Reserve ratchets up interest rates to tackle inflation in the U.S.<\/p>\n

Of the RWA deposits, two vaults in Monetalis Clydesdale<\/a> and BlockTower Andromeda<\/a>, which purchases short-dated United States Treasury notes, collectively make up more than three-quarters of the RWA deposits within the Maker Protocol, per a Dune dashboard<\/a> by data analyst Steakhouse.<\/p>\n

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Maker\u2019s RWA deposits. Source: Dune<\/a><\/figcaption><\/figure>\n

The rise in U.S. treasury yields this year amid increased benchmark interest rates by the U.S. Federal Reserve have played a significant role<\/a> in increasing the protocol\u2019s revenue.<\/p>\n

Yield opportunities for DAI holders<\/h2>\n

Increased yields for DAI holders through its DAI Savings Rate (DSR) mechanism via the Spark Protocol have also contributed to high demand for DAI.<\/p>\n

DSR generates yields for DAI holders from the protocol fees paid by users who deposit assets into Maker to mint new DAI.<\/p>\n

The DAI deposited into Spark Protocol is represented as sDAI, and accounts for 31.3% of DAI\u2019s total supply at $1.7 billion.<\/p>\n

sDAI supply has increased more than fivefold from around $340 million since August, when the Maker community voted<\/a> to increase sDAI yields. Its holders currently earn an annual rate of 5% from DSR deposits.<\/p>\n

DSR deposits saw another boost last week, with the launch of sDAI on Gnosis Chain.<\/p>\n

On October 9, Spark Protocol deployed<\/a> on Gnosis Chain, with its supply increasing from $20 million to nearly $50 million since then, per DeFiLlama data<\/a>. These holders deposit sDAI into DeFi<\/a><\/span> protocols on the Gnosis Chain for enhanced yields.<\/p>\n

Edited by Stephen Graves<\/a><\/i><\/p>\n

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Stay on top of crypto news, get daily updates in your inbox.<\/h3>\n<\/div>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Stablecoin issuer Maker Protocol\u2019s annualized revenue surged to a new all-time high of $203 million yesterday, according to Makerburn.com data. The previous peak was $172.3 million in May 2021. Maker is a stablecoin issuing platform on Ethereum, governed by the MakerDAO community formed of MKR token holders. The supply of the protocol\u2019s stablecoin, DAI, reached […]<\/p>\n","protected":false},"author":2,"featured_media":178954,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[230,225,221,227,226,228,229,60,223,224,222],"class_list":["post-178953","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-cryptocurrency","tag-brave","tag-coinbase","tag-crypto","tag-decentralised","tag-decentralized","tag-decentralized-exchange","tag-erc-20","tag-featured","tag-meme-coin","tag-robinhood","tag-solana"],"_links":{"self":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/178953","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/comments?post=178953"}],"version-history":[{"count":2,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/178953\/revisions"}],"predecessor-version":[{"id":178956,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/178953\/revisions\/178956"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media\/178954"}],"wp:attachment":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media?parent=178953"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/categories?post=178953"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/tags?post=178953"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}