On March 16, the protocol engineer at Makerdao and co-founder of the software and design firm Bellwood Studios, Hexonaut, announced a proposal to use real world assets (RWAs) in order to scale the decentralized finance (defi) protocol Makerdao. Hexonaut insists the bull market was good, but “the time is passing” and he believes Makerdao needs “to take the next step and begin integrating with the real world at scale.”
Makerdao Community Proposal Discusses Integrating Real World Assets Into the CDP Equation
A software engineer from the Makerdao team has an idea that he thinks will invigorate the decentralized finance (defi) protocol. Essentially, Makerdao is a collateralized debt position (CDP) or protocol that manages the issuance of the stablecoin DAI. Across various blockchains, data from defillama.com statistics show there are roughly 31 different CDPs and Makerdao is the largest in terms of total value locked (TVL). Today, Makerdao has $16.15 billion TVL, which has increased 6.99% over the last seven days.
Makerdao is also the second-largest defi protocol, under Curve Finance, in terms of the value locked in defi today. Makerdao’s DAI stablecoin is the fifth-largest stablecoin in terms of market valuation, with $9.5 billion. DAI has recently been overtaken by the stablecoin UST issued on Terra’s network, as UST now has a valuation of around $15.4 billion. This past week, Makerdao protocol engineer Hexonaut revealed an idea that proposes to introduce real world assets (RWAs) into Makerdao’s CDP scheme. Hexonaut explained that a “short-term crutch” was when the project leveraged centralized stablecoins like USDC.
It’s time for the Maker protocol to take bold action and seed the next phase of DeFi.
The bull market has been kind to us all, but that time is passing. We
