MakerDAO Paves Way for Additional $1.28B U.S. Treasury Purchase

The assemblage governing MakerDAO, the decentralized autonomous enactment (DAO) down stablecoin DAI, has paved the mode to acquisition up to an further $1.28 cardinal successful U.S. authorities bonds via crypto plus manager BlockTower Capital.

Voters unanimously favored opening a caller real-world plus (RWA) vault named BlockTower Andromeda, according to a vote concluded connected Thursday. The vault is dedicated to investing a maximum of $1.28 cardinal successful short-dated U.S. Treasury bonds funded by Maker’s overcollateralized DAI stablecoin, according to the proposal.

Maker volition wage a 0.15% arranger interest to BlockTower. Celadon Financial Group volition enactment arsenic a broker and Wedbush Securities volition custody assets.

Maker has already purchased $1.1 cardinal of authorities and firm bonds via a vault helmed by plus manager Monetalis Clysdale. It besides made loans to banks specified arsenic Huntingdon Valley Bank and Societe Generale-Forge, the French banking giant’s crypto-focused subsidiary.

The latest determination fits into Maker’s ambitions to diversify reserve assets backing its $5 cardinal stablecoin DAI and boost protocol revenues by investing successful yield-generating strategies. Maker earns a output connected storing $500 cardinal USDC astatine Coinbase Prime, portion Gemini pays rewards to Maker for holding Gemini Dollar (GUSD) among the reserve assets.

The platform’s concern program besides underscores the growing demand for accepted fiscal instruments among crypto autochthonal entities specified arsenic DAOs arsenic a means to gain a unchangeable output connected their treasury.

BlockTower already manages aggregate Maker vaults, which presently put immoderate $90 cardinal successful structured recognition products connected blockchain-based recognition protocol Centrifuge.