- Protocol tokens from Kyber Network and 0x will be accepted as collateral assets on Maker’s loan platform.
- The two tokens have been added to the platform with a higher liquidation ratio than WBTC or USDC.
- Kyber also announced that the Katalyst protocol upgrade would be released on July 7, 2020.
After a successful Executive Vote, protocol tokens from token swap platforms Kyber Network and 0x will be accepted as collateral assets on Maker’s loan platform. This is a recognition of the increasing value of DeFi protocol tokens and a testament to the Maker platform’s versatility.
Kyber’s KNC and 0x’s ZRX have been added to the platform with a higher liquidation ratio than other collateral options like Wrapped Bitcoin (WBTC) or Circle’s stablecoin USDC. The difference accounts for the relatively bigger risk of drawing loans against the lesser-known and unpegged digital assets, whose values are likely to be more volatile.
Decentralized exchange (DEX) tokens like Kyber’s KNC have been offering attractive year-to-date returns compared to other popular assets like BTC or ETH. Both trading volume and the number of active traders on decentralized exchanges have been moving upwards since 2019, with the highest surge in activity occurring in March 2020 during the cryptocurrency crash.
The addition of Kyber’s KNC and 0x’s ZRX coincides with Kyber’s announcement of the launch date of the Katalyst protocol upgrade, which is scheduled for July 7, 2020. The update is likely to bring the protocol into the spotlight and potentially increase demand for KNC tokens.
MKR/USD daily chart
MKR/USD has had four straight bullish days as it continues to traverse in an upward channel formation and is currently priced at $456.60. As per technical analysis, immediate resistance lies at $472.30 and $501.95 (SMA 20). On the downside, healthy support levels lie at $451.48 (SMA 50), $441.80 (SMA 200), $437.25 and $420.75.
Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.
Recommended Content
Editors’ Picks
Coinbase lists WIF perpetual futures contract as it unveils plans for Aevo, Ethena, and Etherfi
Dogwifhat perpetual futures began trading on Coinbase International Exchange and Coinbase Advanced on Thursday. However, the futures contract failed to trigger a rally for the popular meme coin.
Stripe looks to bring back crypto payments as stablecoin market cap hits all-time high
Stripe announced on Thursday that it would add support for USDC stablecoin, as the stablecoin market exploded in March, according to reports by Cryptocompare.
Ethereum cancels rally expectations as Consensys sues SEC over ETH security status
Ethereum (ETH) appears to have returned to its consolidating move on Thursday, canceling rally expectations. This comes after Consensys filed a lawsuit against the Securities & Exchange Commission (SEC) and insider sources informing Reuters of the unlikelihood of a spot ETH ETF approval in May.
FBI cautions against non-KYC Bitcoin and crypto money transmitting services as SEC goes after MetaMask
US Federal Bureau of Investigations (FBI) has issued a caution to Bitcoiners and cryptocurrency market enthusiasts, coming on the same day as when the US Securities and Exchange Commission (SEC) is on the receiving end of a lawsuit, with a new player adding to the list of parties calling for the regulator to restrain its hand.
Bitcoin: BTC post-halving rally could be partially priced in Premium
Bitcoin (BTC) price briefly slipped below the $60,000 level for the last three days, attracting buyers in this area as the fourth BTC halving is due in a few hours. Is the halving priced in for Bitcoin? Or will the pioneer crypto note more gains in the coming days?