MakerDAO will let MKR holders convert their tokens to 24,000 NewGovToken (NGT) tokens each, aiming to boost governance participation.
MKR holders will be able to convert their tokens to the newly-issued NewGovToken (NGT) tokens through the crypto lending platform MakerDAO, which is the protocol that powers the DAI stablecoin.
Holders will have the ability to exchange one MKR token for 24,000 NGT tokens, which MakerDAO anticipates will enhance governance participation by allowing users to control a more substantial number of NGT tokens.
MKR is currently trading at $2,084 and has a total supply of 977,631. It is challenging to secure widespread participation in governance ballots due to the limited supply and high nominal value in comparison to other governance tokens.
MakerDAO also disclosed the introduction of NewStable (NST), a new stablecoin that will be pegged 1:1 with DAI, in addition to the rollout of NGT. The conversion is optional, and both DAI and MKR will continue to be accessible.
“Both tokens are expected to stay unchanged for the foreseeable future, unless governance decides otherwise,” MakerDAOÂ wrote on X.
The tokens are a component of MakerDAO’s “endgame” strategy, which involves the proposed expansion of the Maker ecosystem, which includes the introduction of new stablecoins and novel revenue generation methods.
