Maker Co-Founder Rune Christensen Dispels “Freeze Function” Rumors Ahead Of USDS Launch

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

“Truly there shall be no freeze perform at launch, there’ll simply be an improve potential,” Christensen mentioned in an Aug. 27 X put up. With this improve potential, members of the venture’s governance will have the ability to determine later how new features shall be applied to guard towards “as many danger components as doable.”

Crypto X Group 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 person that goes by the identify “Tunez” requested his 155,000 followers whether or not the perform would “utterly defeat the aim of the venture.”

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 venture? am i lacking one thing right here

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

Cinneamhain Ventures accomplice Adam Cochran mentioned {that a} freeze perform can 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 mentioned.

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 value of property, 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 shall be added to the upgraded ecosystem, whereas their predecessors will proceed to commerce on the open market. DAI holders will have the ability to trade their tokens 1:1 for USDS. In the meantime, every MKR token may be swapped for 28,000 SKY tokens.

Present DAI and MKR holders may even have the ability to voluntarily select to maintain the previous tokens or swap them out for the brand new USDS and SKY tokens, which shall be launched on Sept. 15.