MakerDAO, a decentralized finance (DeFi) network, intends to introduce two new tokens, signifying a significant advancement. The tokens, referred to as NewStable (NST) and NewGovToken (NGT), have been designed with the aim of enhancing stability, expanding usage, and promoting more involvement in governance.
NewStable aims to be an enhanced iteration of Dai, the stablecoin currently offered by the MakerDAO platform. Although the official name has not been disclosed, the available information suggests that NST will provide enhanced stabilization capabilities that will benefit both experienced and novice users.
Existing Dai holders will have a smooth conversion procedure, allowing them to effortlessly transfer their assets to NST or revert back to Dai whenever they choose. Afterwards, owners of NST receive opportunities to earn “the stock earning NGT” while the distribution has commenced.
By valuing each MKR at 24,000 NGT, a larger number of users will be able to acquire a significant stake in the company, thereby reducing the current uneven distribution and increasing the number of individuals who have ownership and decision-making power in the platform. Sharing the similarities with NST, persons possessing MKR will have the ability to reverse its conversion into MKR whenever they find it required.
The purpose of the new governance token, NewGovToken, is to enhance the rules at MakerDAO that control processes and increase participation from a larger number of individuals. In order to achieve this objective, the whole supply of the NGT will undergo a redenomination in relation to the current governance token of Maker (MKR).
According to Maker, “Dai holders can seamlessly upgrade to NewStable, enjoying the flexibility to revert back to Dai as desired.” This method enables one to understand that MakerDAO is indeed focused on ongoing revival through the release of new items.
The inclusion of NST and NGT in the MakerDAO network is a growth of the wider ecosystem, not an eradication of the existing coins. The consumer will keep the ability to use Dai and MKR in addition to the new tokens.
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