MakerDAO to Move $1.6 Billion USDC into Coinbase Custody
Source: AdobeStock / piter2121 MakerDAO (MKR), the decentralized organization that manages the stablecoin DAI, will move $1.6bn of its USD Coin (USDC) reserves to Coinbase to earn a yield of up to 1.5%. The proposal to have Coinbase custody part of the MakerDAO treasury was passed by the MakerDAO community on Monday, with 75% of the votes being in favor of the move. The $1.6bn represents one-third of MakerDAO’s treasury – the reserve that allows users to deposit collateral in exchange for being issued the DAI stablecoin. In the proposal, known as MIP81, Coinbase is described as “a longstanding partner” of Maker, and “an established, reputable, and regulated company.” “This MIP outlines a clear path to providing up to 1.5% APY on USDC in the form of USDC Rewards and optimizing liquidity at zero cost to, and industry-leading security for, Maker,” the proposal said. According to the proposal, Maker will not pay any custod...