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MakerDAO Set To Retain $500 Million GUSD In Its Reserve

Published 2023-01-19, 05:20 a/m
© Reuters.  MakerDAO Set To Retain $500 Million GUSD In Its Reserve

Coin Edition -

  • MakerDAO’s community is voting to determine if it should hold GUSD in its reserve.
  • Gemini’s recent troubles have prompted this governance vote for its stablecoin.
  • Latest voting stats indicate that MakerDAO will retain almost $500 million GUSD in its reserve.

The community of MakerDAO is voting to decide if Gemini’s GUSD stablecoin should be held in their reserve. The vote is rather important for Gemini as the exchange navigates the ongoing crypto contagion. The outcome of this governance vote will play a major role in restoring public confidence in the crypto exchange.

MakerDAO currently holds almost $500 million worth of GUSD in its reserve. The DAO earns a marketing incentive of 1.5% for maintaining at least 100 million GUSD in the reserve. With the DeFi lender’s current exposure of 489 million GUSD, the annual revenue from Gemini comes out at roughly $7.3 million.

The proposal includes three outcomes for Gemini’s stablecoin. The first is to retain the whole reserve of almost 500 million GUSD. The second is to bring the exposure down to 100 million. The third and most drastic option is to completely eliminate GUSD from MakerDAO’s reserve.

The latest voting stats indicate that MakerDAO is set to maintain its half-billion exposure to Gemini’s stablecoin. As per t ...

The post MakerDAO Set To Retain $500 Million GUSD In Its Reserve appeared first on Coin Edition.

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