The team behind Dash has made a recent announcement. This announcement pertained to their tokens being entered into the vibrant DeFi ecosystem of Ethereum. The initiative itself will be led by StakeHound, a DeFi development company, and will create StakedDASH, an Ethereum-wrapped token for users to access.
A Growing Trend For Many Protocols
The Dash team has made it clear that the wrapped token will see its launch later on in 2020.
Dash isn’t the first, nor most likely the last, that have made a tokenized version of some other crypto, the most obvious example being warped Bitcoin, or wBTC. StakedDASH tokens, much like how wBTC can be used in DeFi apps, will allow for liquidity contributions to DeFi applications, such as Uniswap. Alongside this, the community’s token holders will also be aided in this, as they will be capable of earning rather attractive yields for their holdings.
DASH And ERC-20 Users Have Each Other’s World opened
A second opportunity rises thanks to this development, allowing users to gain extra rewards. The first way this is done is pretty straightforward: Lock tokens in Masternodes, gaining an annual reward for your staked tokens. The second way to gain rewards, is by way of StakedDASH token generation, which can subsequently be used in DeFi apps for yield farming.
A user doesn’t need to run a Masternode in order to generate StakedDash, however. Instead, they can opt to sign up and send their respective holdings to StakeHound itself, which would automatically stake these tokens and allow its users to generate rewards.
The Mandatory Kind Words
Ryan Taylor stands as the CEO of Dash Core Group, and gave a statement about the matter at large. He explained that this new partnership would result in Dash pushing into the DeFi space. As a result of this, Taylor highlighted the new use cases and opportunities available to the users of both ERC-20 blockchain users as well as Dash. With both sides seeing a new door opened, users from each side of the spectrum can explore a whole new world. Dash users, in particular, are capable of continuing their returns by way of staked Dash, as well.
As one would imagine, DASH saw a massive price hike in the 12 hours after the announcement at the time of writing, DASH is worth about $73.50, having risen by 15% in the first 12 hours and seeing subsequent corrections.