Sky Protocol Proposes Two Structural Upgrades to Strengthen Capital Protection Framework

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On April 8, Sky Governance announced on April 7 that it has proposed two structural upgrade plans aimed at strengthening the capital protection framework of the protocol. The two proposals are: implementing a stronger solvency buffer mechanism and adopting a more sustainable staking reward model, with the goal of consolidating the long-term stability of the protocol and prioritizing credibility over short-term profit pursuits. Sky Protocol noted that its yield-bearing stablecoin, sUSDS, is the largest in its category, attributing this success to the protocol’s unique risk positioning compared to competitors.

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