Buy USDS (USDS) with AUD

What is USDS (USDS)?

USDS is a decentralised, US dollar-pegged stablecoin issued by Sky Protocol, the rebrand of MakerDAO. It is the upgraded successor to DAI, holding its peg through an overcollateralised smart contract system, and is convertible to and from DAI at a 1:1 ratio.

The History of USDS

USDS comes from MakerDAO, the protocol that launched DAI in 2017 as one of the first decentralised stablecoins. In August 2024, MakerDAO rebranded to Sky Protocol as part of its Endgame plan to make the system more scalable. USDS launched on 18 September 2024 alongside SKY, the new governance token that replaced MKR. Supply passed one billion within two weeks, and USDS expanded to Solana in November 2024. By 2026, USDS supply had grown above 11 billion US dollars and major exchanges had migrated DAI balances directly to USDS.

The Use Case of USDS

USDS is used as a decentralised digital dollar without relying on a single centralised issuer. Each token is backed by a basket of overcollateralised assets including ETH, USDC, and tokenised real-world assets. It is widely used across DeFi as a medium of exchange and as collateral on lending markets, DEXs, and yield protocols.

USDS also adds two distinct features. Holders can deposit USDS into the Sky Savings Rate to receive sUSDS, a yield-bearing token that accrues a variable rate set by Sky governance. Active users also earn SKY tokens through Sky Token Rewards, giving USDS a built-in incentive layer rather than functioning purely as a passive store of value.