what's Sky USD (USDS)?

Sky USD (USDS) is a decentralized stablecoin issued on the Sky Protocol, a community-governed DeFi platform evolved from MakerDAO. It maintains a soft peg to the US Dollar through over-collateralization with crypto assets like ETH and real-world assets (RWAs), enabling transparent, on-chain stability without reliance on centralized issuers. Users interact via permissionless liquidity pools on sky.money to mint, trade, or upgrade legacy DAI to USDS. The protocol pairs USDS with SKY, the governance and staking token, allowing holders to participate in decisions and earn rewards through mechanisms like the Sky Savings Rate (sUSDS). Deployed across multiple chains, it emphasizes borderless access, with all operations powered by Ethereum and governance by SKY holders.

Sky Dollar received "Best In Stablecoins" award in The Rollup 2025 Awards.