Sky Prepares to Bring Its USDS Stablecoin to Solana via Wormhole

Sky, formerly known as MakerDAO, has announced the launch of its decentralized stablecoin USDS on the Solana blockchain via the Wormhole interoperability protocol.

Sky (formerly MakerDAO) is bringing its decentralized stablecoin USDS to Solana via Wormhole.

Rune Christensen, the founder of the platform, announced the upcoming launch during the Solana Breakpoint conference. This move will deepen the protocol’s expansion into new platforms, allowing Solana users to access Sky’s assets and unique features.

Rune announced the proposal with a tweet, revealing the plan to bridge SKY, USDS, and sUSDS tokens. Additionally, an incentive program will allocate 2 million SKY tokens per week to Solana DeFi protocols that integrate USDS and SKY.

The integration of USDS on Solana aims to fill a gap in this ecosystem: the lack of a decentralized stablecoin that offers native savings rates and token rewards. While Solana may be smaller than Ethereum, Christensen noted its potential for growth due to the strong foundations in the DeFi sector within the platform. With this expansion, Sky will leverage Solana’s speed and efficiency, which can process thousands of transactions per second.

Sky Announces Liquidity Incentive Program

As part of its short-term growth strategy, Sky has announced a liquidity incentive program. This temporary program will offer up to 2 million SKY tokens per week to liquidity providers and DeFi integrators on Solana, aiming to foster the adoption of USDS.

The incentives will mainly target two liquidity pairs: USDS/USDC and USDS/sUSDS. This aims to ensure a smooth experience for Solana users utilizing the stablecoin.

This initiative is part of a broader strategy that will culminate in the launch of SkyLink, an advanced solution that will enable native governance on Solana. SkyLink will provide full access to the protocol’s key features, such as savings rates for USDS, token rewards, and the ability to deploy large-scale capital into Solana’s DeFi protocols.

Finally, the use of the Wormhole protocol will facilitate interoperability between Ethereum and Solana while preparing for the full deployment of SkyLink.