The MakerDAO Announcement
MakerDAO’s co-founder, Rune Christensen, has put forth a groundbreaking proposal for the project—a dedicated network. While numerous applications currently operate on the Ethereum network, there has been a noticeable trend in the DeFi space, with platforms striving to establish themselves on their own main networks, especially over the past year. Despite MakerDAO’s longstanding affiliation with Ethereum, Christensen has suggested the development of MakerDAO on a fork of Solana’s codebase instead of the Ethereum Virtual Machine (EVM).
MakerDAO’s native chain, currently referred to as “NewChain,” is part of the fifth and final stage of the “Endgame” upgrade. This ambitious transition is expected to take approximately three years to complete, ultimately resulting in the Maker Protocol operating on a new and independent blockchain.
Why Solana is the Preferred Choice
In a recent Twitter announcement, Christensen outlined the reasons behind Solana being the superior choice for their blockchain endeavors. In his detailed proposal on the MakerDAO forum, he identified Solana’s codebase as the “most promising” foundation for NewChain, citing three key advantages:
- Technical quality of Solana’s codebase
- High efficiency
Christensen emphasized, “Solana’s codebase is well-designed. We are seeing the benefits of designing after the bottlenecks and challenges of blockchains have been well understood, which is quite favorable for NewChain.”
Additionally, Christensen highlighted Solana’s resilience in the face of challenges such as the “FTX boom.” Furthermore, he pointed out that Solana’s codebase has already been successfully forked and adapted for various application chains, indicating that MakerDAO can follow a similar path in developing NewChain.
As of the latest data, the MKR Coin price is currently trading at $1,186, rebounding from a dip to $1,092 the previous day. The recent decline in Bitcoin’s price has put significant pressure on many cryptocurrencies, causing them to reach mid and long-term lows. The impact of MakerDAO’s strategic shift on its price remains to be seen as the transition unfolds.