USDS 

USDS Price

What is the USDS stablecoin?

USDS (Sky Dollar) is a decentralized, dollar-pegged stablecoin issued by Sky Protocol, the protocol formed from MakerDAO's rebrand to Sky. USDS launched on September 18, 2024 as the successor to DAI, and DAI converts to USDS at 1:1. The stablecoin is minted against overcollateralized crypto and real-world-asset collateral, and DeFi users access yield on USDS through sUSDS, the token of the Sky Savings Rate.

How does USDS maintain its dollar peg?

USDS maintains its peg through overcollateralization. Holders mint USDS by depositing crypto or real-world-asset collateral into Sky Protocol's vault system, and the stablecoin is burned when loans are repaid. Supply therefore expands and contracts with borrowing demand against locked collateral. A fee-free 1:1 conversion from USDC through Sky's official interface adds a direct arbitrage path that supports the dollar price.

What is the difference between USDS and DAI?

USDS is the upgraded successor to DAI, and both stablecoins convert into each other at 1:1. Both tokens are backed by the same Sky collateral system, so issuance spans USDS and DAI together. One structural difference: USDS includes a freeze capability that DAI lacked, and that capability drew decentralization criticism from parts of the MakerDAO community because it gives governance power over individual balances.

Who owns and governs USDS?

No company owns USDS. Sky Protocol governs the stablecoin through a DAO in the MakerDAO lineage, where holders of the SKY token (the MKR migration token, live September 18, 2024) vote on risk parameters, collateral onboarding, and the savings rate. Rune Christensen leads the project's lineage. Sky Protocol is a decentralized protocol, not a venture-funded issuer, and USDS was minted against collateral rather than sold in a token sale.

Does USDS have a maximum supply or unlock schedule?

USDS has no maximum supply, and supply sits close to 10 billion tokens. The figure is demand-driven: new USDS is minted only when users deposit collateral and is destroyed on redemption. No insider allocations, cliffs, or unlock schedules exist because the stablecoin carries no investor buckets. Expansion depends on protocol borrowing demand and settings of the Sky Savings Rate, not on vesting events.

How does USDS pay yield through sUSDS?

Yield on USDS flows through sUSDS, the accrual token of the Sky Savings Rate. Depositing USDS into the savings rate mints sUSDS, which accrues value over time with no lockup periods, and redemption returns USDS. A second program, Sky Token Rewards, distributes SKY-denominated rewards to holders of eligible assets. Both are permanent protocol mechanisms rather than time-limited campaigns.

Which blockchains does USDS run on?

USDS runs natively on Ethereum and Solana. Sky deployed USDS to Solana in November 2024 through Wormhole Native Token Transfers, a mechanism that burns tokens on Ethereum and mints them 1:1 on Solana, and the stablecoin is additionally deployed across Ethereum L2 networks. The Ethereum contract is verifiable on Etherscan at 0xdc035d45d973e3ec169d2276ddab16f1e407384f, and the Solana mint is verifiable on Solscan at USDSwr9ApdHk5bvJKMjzff41FfuX8bSxdKcR81vTwcA.

Where can USDS be traded?

Per DropsTab data, USDS trades on more than 30 markets across centralized and decentralized venues. Centralized coverage includes Binance, Coinbase, Kraken, KuCoin, Gate, HTX, Upbit, and Bithumb, with quotes in USD, USDT, EUR, and KRW. Decentralized liquidity runs through Uniswap on Ethereum and through Raydium and Meteora on Solana. Tier-1 CEX coverage on both chains keeps venue-side liquidity risk low.