MakerDAO founder’s plans to deal with local weather change and pivot again to ETH
MakerDAO founder Rune Christensen has revealed an essay outlining measures that might be taken to make the protocol a automobile for addressing local weather change.
In a prolonged Oct. 5 put up published to the MakerDAO governance discussion board, Christensen asserts that MakerDAO ought to try to make sure that all of its collateral includes “sustainable and climate-aligned assets that consider the long-term impacts of financial activity on the environment.”
Christensen asserts that the protocol’s collateral must be invested into sustainable real-world belongings (RWAs) by means of senior credit score positions in initiatives that construct “solar farms, wind turbines, batteries, recharging stations and other cost-efficient renewable energy solutions, as well as their supply chains, sustainable resource extraction and recycling.” He additional acknowledged:
“Today we already have everything we need to begin scaling our RWA exposure to hundreds of billions of USD and beyond, securely and in full compliance with financial regulation, by using the trustee-based model of real-world assets that the community developed over many years.”
Related: MakerDAO to dissolve Foundation and develop into actually decentralized once more
Christensen additionally expresses the necessity for MakerDAO to reestablish its dedication to decentralized collateral, advocating that the protocol return to counting on the Ethereum community and Ether token.
MakerDAO customers deposit crypto belongings into the protocol to collateralize minting of the Dai (DAI) stablecoin. While Ether was solely supported by the protocol initially, it has since expanded to assist different belongings together with USD Coin, Wrapped Bitcoin, and Basic Attention Token.
Maker’s founder emphasised the improved environmental effectivity anticipated to be achieved by means of Ethereum’s transition to Proof-of-Stake consensus with Eth2, stating:
“Once the upgrade from proof of work to proof of stake is completed, Ethereum will become a highly energy-efficient blockchain. ETH will become a sustainable contender to Bitcoin’s current role as the primary cryptocurrency.”