MakerDAO, a decentralized finance (DeFi) platform, plans to launch two new tokens which indicate a major step forward. These tokens, given the codenames NewStable (NST) and NewGovToken (NGT), are designed to improve stability, enlarge adoption, and increase participation in governance.
NewStable aspires to be an upgraded version of Dai; the stablecoin already provided by the MakerDAO platform. While the official name has yet to be released, what we know so far hints that NST will have better-stabilizing features that will be effective not just for experienced users but also for new users.
The conversion process will be seamless for the existing Dai holders, whereby they can easily migrate their assets to NST or go back to Dai at any time. Subsequently, NST owners get “the stock earning NGT” opportunities while the distribution has begun.
The new governance token, NewGovToken, shall be employed to amplify the rules at MakerDAO governing processes and involve more people. For this purpose, the total supply of the NGT will be redenominated compared to the up-to-date governance token of Maker (MKR).
Presenting each MKR as 24,000 NGT will allow more users to hold a considerable portion of shares, scale down the unbalanced distribution, and make more people part owners of the platform and decision-makers. Sharing the similarities with NST, those holding MKR will have the option of reversing its conversion into MKR whenever find it necessary
The integration of the NST and NGT into the MakerDAO network is an expansion of the bigger ecosystem, not an eradication of the existing tokens. The consumer will keep the ability to use Dai and MKR in addition to the new tokens.
“Dai holders can seamlessly upgrade to NewStable, enjoying the flexibility to revert back to Dai as desired,” Maker stated.
Through this doing, one is able to see that MakerDAO is indeed focused on continuous revival through the introduction of new products.
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