- MakerDAO announced a new proposal that would remove PURE BTC vaults
- Their income through real assets increased, but TVL decreased
In a tweet dated December 10, MakerDAO revealed that they would go beyond various vault types with risk exposure. One of them will be REN-BTC vault if the new proposal is adopted.
This is an important reminder to all RENBTC-A users.
The RENBTC-A vault type will be removed from the Maker Protocol if the active Executive Vote passes.
— Maker (@MakerDAO) 10 December 2022
Read MakerDAO’s [MKR] Price prediction 2023-2024
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If the proposal goes through, all RENBTC-A positions with a margin below 5000% will be liquidated. Users will not be able to avoid liquidation unless they pay off their remaining DAI debt.
This proactive approach of the DAO, to ensure the safety of users, can be received positively by the crypto community.
The amount of revenue generated by MakerDAO from real assets also increased. At the time of writing, 75% of all income generated by MakerDAO had been through real-world assets.
Because of this growth in revenue, the DAO management was rewarded a return of 1% to DAI holders.
A rare exponential curve in this bear market. @MakerDAO
75% of earnings are now RWA (incl. GUSD rewards). 🛠️
The board also decided to distribute a 1% reward return to DAI holders. 🎁🎄
Gradually, then suddenly. 🚀 https://t.co/KUPrEWXsde pic.twitter.com/Y2aMF3teWR
— Sébastien Derivaux (@SebVentures) 7 December 2022
Despite the rising incomes, MakerDAO’s total value locked (TVL) fell significantly in the last week. At press time will MakerDAO‘s TVL was on $6.34 billion, according to data provided by DeFi Lama.
Looking at the token
MakerDAO’s token, MKR was also not able to do well. The number of daily active addresses for the MKR token decreased significantly in the last month. Furthermore, MKR’s speed was also weakened. A decreasing rate indicated that the frequency at which MKR was exchanged between addresses had decreased.
MKR’s token holders were also unable to earn anything. From the image below, it can be seen that the volume of transactions that were made in profit had reduced significantly.
MKR’s token was unable to garner interest from new addresses as well. The network growth of the token fell during the last 30 days. This meant that the number of new addresses transferring MKR had decreased.
Surprisingly, despite these factors, MKR witnessed an increase in interest from major addresses from November 14. After this, interest has been steady throughout the last month.
This suggested that large addresses remained undeterred by market volatility and continued to show faith in the token.
At the time of writing, MKR was traded at $612.35. The price fell by 0.32% in the last 24 hours.