Spark Protocol, DeFi Lending Option For DAI Users, Introduced By MakerDAO

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MakerDAO,  the decentralized independent agency that runs on the blockchain of Ethereum plus issues the stablecoin DAI, recently announced the fact that it has introduced its Spark Protocol, a financing option for DAI consumers.

The first iteration of the Spark Protocol, based on the Twitter declaration, will function as the lending marketplace, giving users access to supply as well as borrowing options for bitcoins like Ether, staked Ether (stETH), staked DAI (sDAI), and DAI. The platform was created especially for DAI which promises to give users an opportunity for affordable financing whenever required.

MakerDao Uses New Technology

The Maker D3M, a technology that permits communication among the Maker ecosystem as well as external loan pools, is also connected to the Spark Protocol. With a starting annual cost of just 1.11%, the connection between Spark Protocol plus Maker’s D3M aims to allow customers to obtain DAI at more affordable rates.

 The straight wholesale line of credit in DAI introduces as well as automatically balances fresh DAI liquidity into Spark Lend and allows its customers to obtain the best rates in the market, according to the statement on the connection between Spark Protocol plus Maker’s D3M.

Recently, MakerDAO put forth an updated “constitution” that was intended to set up as well as formalize its management procedures and provide protection against any potential threats from bad actors who might attempt to take control of the protocol.

MakerDAO’s new constitution makes use of “alignment engineering” to firmly establish the basic responsibilities that govern the Maker community, protecting user funds from any failures or losses caused by human and institutional actions and ensuring the security plus ongoing viability of Maker Protocol.