#MakerDAO How does it work?

The majority of RWA collateral (approximately $500 million) is in the form of (MIP65) managed U.S. Treasury securities.

These assets provide the protocol with a source of revenue from otherwise idle USDC collateral.

MakerDAO also launched a vault backed by $100 million worth of loans from a Philadelphia-based community bank called (HVB).

HVB uses MakerDAO to support the growth of its existing business and investments around real estate and other related verticals, and to participate as the first commercial loan between a U.S.-regulated financial institution and a decentralized digital currency.

In a separate vault, Société Générale borrowed $7 million from MakerDAO, a position backed by €40 million worth of AAA-rated bonds as OFH tokens.