Decentralized Lending Platform Sky’s Financial Protocol Spark Announces Winners of Tokenized Prize Competition
On Wednesday, Spark, a financial protocol within the ecosystem of the decentralized lending platform Sky (formerly MakerDAO), announced the winners of its “Tokenized Prize Competition” as BlackRock, Securitize, Superstate, and Centrifuge. Upon approval by the Sky governance system, a total of $1 billion will be allocated to the tokenized government bond products of these three winners.
The initiative by Spark aims to allocate stablecoins directly to the winning projects through the Spark Liquidity Layer (SLL), propelling Spark towards its goal of becoming a growth engine for stablecoins in the DeFi space, while using Real World Assets (RWA) as a tool for diversifying its balance sheet.
According to the announcement, the tokenized government bond fund BUIDL, issued by BlackRock and the tokenization technology company Securitize, will receive an allocation of $500 million; the USTB fund from asset management company Superstate (founded by Compound’s Robert Leshner) will receive $300 million; and Centrifuge’s JTRSY fund will receive $200 million. Following the governance vote on April 3, these selected tokenized assets may be used as collateral for Sky’s native stablecoin USDS and its yield-bearing token sUSDS.
According to data from rwa.xyz, this allocation plan will significantly promote the development of the rapidly growing tokenized U.S. government bond market, which currently stands at $4.6 billion, with the market value of BlackRock’s BUIDL fund surpassing $1 billion for the first time last week.