Maker Management Votes to Invest $500 Million in U.S. Treasury Bonds
Maker is preparing to create a new asset repository in which its own investments in US bonds will be stored. The vote will determine how Maker will allocate its $500 million treasury assets in a low-risk liquid bond strategy.
MakerDAO, the issuer of the Dai (DAI) stable coin, is currently voting on how to split 500 million DAI ($500 million) of treasury funds for investment between Treasury bills and U.S. bonds, according to the minutes published on Monday.
The management vote is the result of the community's consent to the allocation of assets for the strategy and execution of liquid bonds. Maker says that this asset allocation represents a new real asset repository. Maker repositories allow owners to deposit a deposit to create a stable DAI coin.
"The reason why this is happening is that the current treasury of Maker is mainly stored in stablecoins, which practically do not generate income. By investing excess funds elsewhere, we hope to reduce counterparty risk and credit risk," the report says.
This new repository will house Maker's strategic investments in the form of liquid bonds. Under the previous agreement, the community selected short-term US Treasury bonds and investment grade Corporate bonds (IG) as preferred asset allocation options.
The current vote is whether to allocate $500 million in full to short U.S. Treasury bonds or split 80%-20% between short Treasury bonds and IG corporate bonds.
The 80-20 split option currently shows the largest number of votes - almost 99% at the time of publication - according to data from the voting page. Voting will end on June 30.
Private wholesale lender Monetalis will create a trust in which Maker's bonds will be held, but only Maker will have sole control over the funds of the legal structure. The project stated that Maker Governance will also be able to liquidate investments through management voting.
https://coin-signal.com/cryptonews/maker-management-votes-to-invest-500-million-in-u-s-treasury-bonds/
#500, #Bonds, #Cryptonews, #Invest, #Maker, #Management, #Million, #Treasury, #US, #Votes
#CryptoNews