MakerDAO has received initial approval from its governance community to increase its U.S. Treasury bond holdings to $1.25 billion.
The increase will double Maker’s current Treasury bond holdings of $500 million. The investment in U.S. Treasuries was initially launched in October 2022 through MIP65, which has now been revised to raise the debt ceiling for investments.
Maker intends to use the $750 million made available through the proposal to purchase Treasuries with equal maturities over six months.
The change was approved by 77.13% of votes, and notable voters included GFX Labs, the London Business School Blockchain, Flipside Crypto, and ConsenSys.
The move is a response to Maker’s recent depegging of its stablecoin, DAI, caused by the collapse of Silicon Valley Bank. The investment in Treasury bonds is intended to diversify from USDC and strengthen the project’s resilience. The proposal will still require approval through a separate executive vote by Maker governance.
