MakerDAO revenue tumbles 86% on Ether and Wrapped BTC woes
Source: MessariThe Messari senior research study analyst has pointed to few liquidations and weak loan demand as the factors for the drop in revenue.Its two biggest earners, Ether (ETH) and Wrapped Bitcoin (wBTC), have actually performed improperly in the last quarter, with revenue from ETH-based possessions falling 74% and earnings from BTC-based assets falling 66%. One other positive for MakerDAO was the growth in Real World Asset (RWA) backed loans, which now accounts for 12% of its overall earnings after it effectively rolled out its biggest RWA back loan to Huntingdon Valley Bank (HVB) in the third quarter of 2022. The loan, which involved the creation of a vault with 100 million Dai, constitutes a new collateral type in the Maker Protocol which can help it produce additional income through vault stability charges associated with minting and keeping the vault DAI.HVB is still able to benefit from this integration as it enables the bank to efficiently increase its legal loaning limit, and MakerDAO hopes that if all goes smoothly other banks will follow behind HVB.Read More
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