Sky Q1 loss of $5 million due to 102% increase in USDS interest expenses

BlockBeats reported on May 14, according to Coindesk, that Sky (formerly MakerDAO) incurred a loss of $5 million in the first quarter of this year due to the doubling of interest paid to token holders, as noted in a report written by contributors from Steakhouse Financial.

This loss stands in stark contrast to the previous quarter, when Sky achieved a profit of $31 million. The primary reason for the 102% increase in interest expenses is that Sky decided to incentivize users to adopt its newly launched stablecoin Sky Dollar (USDS) over the existing DAI.