MakerDAO Launches New Stablecoin and Governance Tokens

Stablecoin

MKR token surged following the announcement of MakerDAO’s newly launched stablecoin and governance tokens.

Blockchain protocol MakerDAO has announced the launch of upgraded versions of its native tokens, DAI and MKR, as a part of its ongoing endgame strategy. The new tokens, called NewStable (NST) and NewGovToken (NGT), were unveiled to improve governance and optimize functionality within the MakerDAO ecosystem.

According to a recent announcement on X, upgrading to the new tokens is optional. DAI and MKR will not be phased out; they will continue functioning unless the protocol’s governance decides on future modifications.

“Both tokens are expected to stay unchanged for the foreseeable future, unless governance decides otherwise,” MakerDAO said.

Newly Launched NST and NGT

The new token, NST, will be used in place of DAI for future transactions, with the exchange rate fixed at 1 DAI worth 1 NST. While DAI may continue to focus on specific crypto use cases, NST is intended to drive large-scale adoption.

MRK, on the other hand, will also be used to vote on the government scheme. The NGT will also have voting capabilities and can be converted back to MKR to maintain flexibility. The initial exchange rate of 1 MKR worth 24,000 NewGovToken is designed to enhance accessibility.

These newly introduced tokens are part of MakerDAO’s “endgame plan.” This comprehensive proposal aims to restructure and enhance the governance and tokenomics of the Maker ecosystem. Its main objective is to guide the ecosystem toward a self-sustaining balance, known as the Endgame State. In this state, the ecosystem achieves resilience, and the scope and complexity of Maker Core remain stable without further alterations.

The plan also guarantees that the Maker ecosystem can grow in a decentralized way. Additionally, it seeks to streamline governance for MKR holders and Maker delegates while reducing the concentration of MKR through updated tokenomics and adjusted MKR emissions.

MKR Token Jumps

Following this development, Maker’s native token, MKR, saw a 4.35% increase over the past 24 hours, reaching $2,101. The token’s daily trading volume surged by 4.23%, hitting $112 million, with a market cap of $1.95 billion at the time of writing.