Maker Co-Founder Rune Christensen Dispels “Freeze Perform” Rumors Forward Of USDS Launch

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Rune Christensen, co-founder of the just lately rebranded Maker protocol, has clarified that there might be no “freeze perform” added to the undertaking’s new USDS stablecoin.

“Truly there might be no freeze perform at launch, there’ll simply be an improve means,” Christensen stated in an Aug. 27 X put up. With this improve means, members of the undertaking’s governance will be capable to determine later how new capabilities might be applied to guard in opposition to “as many threat elements as doable.”

Crypto X Neighborhood Raises Centralization Considerations

Christensen’s X put up comes after the protocol confronted backlash for a supposed “freeze perform” in its new stablecoin. Some on-line observers additionally began to query the decentralization of the protocol. One X consumer that goes by the title “Tunez” requested his 155,000 followers whether or not the perform would “utterly defeat the aim of the undertaking.”

maker is rebranding to sky

extra importantly, $DAI is rebranding to $USDS and introducing a freeze perform

would not this utterly defeat the aim of the undertaking? am i lacking one thing right here

— tunez (evm/acc) 🎮 (@cryptunez) August 27, 2024

Cinneamhain Ventures accomplice Adam Cochran stated {that a} freeze perform could be needed if the brand new stablecoin is to be backed by US treasuries. “You’re both decentralized and by yourself, otherwise you undertake the treasury departments stick, to get their carrot,” he stated.

Maker Rebrands To Sky, Will Launch Two New Tokens In September

Talks of a freeze perform come amid Maker’s rebranding to “Sky” this week. Boasting $7 billion price of belongings, the protocol will introduce new variations of each its $5 billion DAI stablecoin and its MKR governance token as a part of the rebrand.

A brand new USDS stablecoin and a SKY governance token might be added to the upgraded ecosystem, whereas their predecessors will proceed to commerce on the open market. DAI holders will be capable to trade their tokens 1:1 for USDS. In the meantime, every MKR token might be swapped for 28,000 SKY tokens.

Present DAI and MKR holders will even be capable to voluntarily select to maintain the outdated tokens or swap them out for the brand new USDS and SKY tokens, which might be launched on Sept. 15.