MakerDAO wants to build its own ecosystem, analysts claim

The second largest decentralized finance (DeFi) protocol by total value locked (TVL), MakerDAO, reportedly wants to build out its own ecosystem, according to a pseudonymous DeFi researcher called Ignas.

According to a Twitter thread, the analyst claims that MakerDAO, the creator of the DAI stablecoin, wants to integrate the USD-pegged crypto-asset into its own protocols and platforms instead of “existing DeFi protocols.” The DeFi platform has already developed a competitor to Aave, called Spark Protocol.

Ignas added that MakerDAO’s plan with a DAI Provider Rate (DSR) with an annualized return of 1% (APY) failed to get Aave or Compound protocols to integrate the stablecoin. MakerDAO’s main reason, according to the analyst, was to get USD Coin (USDC) users to migrate to DAI.

The analyst claims that MakerDAO’s plan to develop its own decentralized environment comes as Aave Protocol and Curve Finance are trying to create and launch their own stablecoins. According to the tweet, GHO, Aave’s digital stablecoin, may be a “direct competitor to DAI.”

Ignas stated that MakerDAO also wants to bring EtherDAI to the markets as well. The asset, which is a liquidity derivative (LSD) derivative of ethereum (ETH), is the most important component of MakerDAO’s “end game plan to make DAI the unbiased global currency.”

Previously, the MakerDAO community started polling to hold and manage DAI in the Gemini exchange’s financial crisis. The votes set the fee for swaps of DAI for GUSD at zero, limiting DAI’s exposure to the Gemini stablecoin.

In November 2022, one of the founders of MakerDAO, Nikolai Mushegian, died, and the decentralized community appreciated his brilliance in developing stablecoins and preventing massive hacks on MakerDAO.