🔥🔥🔥 Crypto Loans Surpass #rwa as Main Revenue Drivers for #MakerDAO
#bullish sentiments are resurfacing in the crypto space following last year's gains, and an interesting trend within MakerDAO suggests a return of optimistic leveraged bets.
MakerDAO's revenue matrix indicates a significant shift, with DeFi-native loans now constituting 50.1% of the projected $243 million annual revenue for the protocol. According to data from Steakhouse Financial's MakerDAO dashboard on Dune Analytics, crypto-backed loans contribute $2.4 billion to MakerDAO's stature, expected to generate $122 million in revenue.
Surprisingly, this surpasses the revenue from Maker's real-world asset (RWA) vault, which is estimated at $107 million annually.
The resurgence of crypto-backed lending marks a return to familiar territory for Maker, as DeFi-native lending was a major revenue driver, delivering up to $200 million annually during DeFi's peak in 2021. Following a challenging period for DeFi lending during a bear market and significant market downturns, Maker and other resilient protocols like Aave have weathered the storm, outlasting smaller players in the space.
The resurgence of crypto loans, driven by the market's doubling to $1.7 trillion, reflects renewed risk appetite. Maker's role in lending DAI, with over half its revenue from crypto loans, indicates bullish market sentiment. This trend may signal a move towards riskier assets, driven by expectations of potential US Federal Reserve rate cuts. MakerDAO's robust earnings, regardless of #DEFI rates compared to Fed rates, are highlighted by a recent $100 million injection into real-world assets as part of its "Endgame" plan for DAI decentralization.
Source - cryptopotato.com