Maker migrated to Skye a month ago with two new tokens. Community members ‘love and trust’ the maker brand. Founder Rune Christensen is weighing options on potential changes.
A month after Maker Sky rebranded, its community is having second thoughts about the new name.
Longtime Maker devotees are worried about leaving behind one of the most storied brands in DeFi.
“Strength of Maker and DAI brands must be leveraged,” said user mind0 Protocol Forum. “Being the oldest protocol in Defy, which has been trusted by whales for almost a decade, is no easy task, and Sky is starting from 0 in that department.”
Rune Christensen, founder of the project formerly known as Maker, Agreed Monday may have changed too much too soon.
He also suggested a return to the original maker brand, undoing weeks of effort.
“Now more than ever it’s clear how much the DeFi community loves and trusts Maker Brand,” he wrote. “There’s a lot of association with the brand and what it stands for – stability, security and DeFi scale.”
The change includes the launch of two new tokens, SKY and USDS, a new landing page and a new Tokennomics. Meanwhile, the protocol’s original tokens, DAI and MKR, will remain intact during the reorganization.
A DeFi powerhouse
As one of the first DeFi protocols to hit the market in 2017, Maker and its dollar-pegged stablecoin DAI have become synonymous with the $90 billion decentralized finance niche.
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Alongside heavyweights like Circle’s USDC and Tether’s USDT, DAI stands apart.
Instead of a centralized entity issuing the token, users can print the token and use other cryptocurrencies like Ethereum as collateral.
The conditions under which cryptocurrencies can be used and how much collateral is required are determined by its decentralized autonomous body.
But at $5.8 billion, the protocol’s stablecoin is worth a fraction of USDC and USDT.
Part of Christensen’s endgame plan is the rebrand to Sky, an effort to boost DAI’s growth and make it more competitive in the cryptosphere.
Upon launch, users are invited to upgrade their DAI stablecoin for the new USDS stablecoin; Similarly, they can exchange one MKR governance token for 24,000 SKY tokens.
USDS hit $500 million in five days, with growth fueled by other Sky Protocol incentives such as earning 6% of the stablecoin.
What’s next for Sky?
Despite the rapid growth, the rebrand sidesteps the protocol’s greatest asset, some say.
Christensen offers three options for solving the dilemma.
The first is to continue as is and “embrace the momentum” of the rebrand. The second is a return to Maker and its original brand and the removal of the new SKY governance token.
The last option is to keep the maker brand and modify the new DAOs of the new tokens and protocol.
There will be a community call on Friday to include additional feedback and incorporate it into the revised proposal.
If approved, the community can vote by Nov. 4 on which option they prefer.
Liam Kelly is a DeFi correspondent News. Got a tip? Email him [email protected].
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