Bitget App
Trade smarter
Open
HomepageSign up
Bitget>
News>
Markets>
MakerDAO Votes to Halt Lending to Tokenized Credit Pool After $2M Loan Default

MakerDAO Votes to Halt Lending to Tokenized Credit Pool After $2M Loan Default

Coindesk2023/07/20 23:32
By: Krisztian Sandor
The embattled Harbor Trade credit pool minted $1.5 million of DAI stablecoin secured with loans to a consumer electronics firm, which defaulted on $2.1 million of debt.
MakerDAO founder Rune Christensen (CoinDesk TV)

stablecoin issuer MakerDAO’s community has decided to halt lending to a tokenized credit pool on the Centrifuge protocol after accruing $2.1 million of loan defaults.

In a governance that concluded Thursday at 12 p.m. (ET), voters unanimously favored stopping additional lending to the , managed by fintech firm Harbor Trade. Maker is led by a decentralized autonomous organization (), where those who hold tokens can participate in governance decisions.

“While Harbor Trade has verbally committed to cease additional draws and voluntarily wind down the vault, community members have expressed concern about the existing 7 million debt ceiling and the risk of potentially increasing exposure to this vault,” a said.

Maker’s $4.6 billion stablecoin DAI is backed by debt positions overcollateralized by cryptocurrencies, and increasingly, tokenized versions of loans and bonds, to earn a yield.

The Harbor Trade credit pool some $1.5 million of DAI stablecoins from MakerDAO and secured them with loans made to a consumer electronics firm. The borrower firm failed to pay down $2.1 million of debt matured in April.

Harbor Trade is “actively engaged in the workout process” and forecasts “a meaningful or full recovery,” according to , but the could take six months or more.

Edited by James Rubin.

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
PoolX: Earn new token airdrops
Lock your assets and earn 10%+ APR
Lock now!

You may also like

Bitget VIP Weekly Research Insights

As the crypto market recovers in 2025, Digital Asset Treasury (DAT) firms and protocol token buybacks are drawing increasing attention. DAT refers to public companies accumulating crypto assets as part of their treasury. This model enhances shareholder returns through yield and price appreciation, while avoiding the direct risks of holding crypto. Similar to an ETF but more active, DAT structures can generate additional income via staking or lending, driving NAV growth. Protocol token buybacks, such as those seen with HYPE, LINK, and ENA, use protocol revenues to automatically repurchase and burn tokens. This reduces circulating supply and creates a deflationary effect. Key drivers for upside include institutional capital inflows and potential Fed rate cuts, which would stimulate risk assets. Combined with buyback mechanisms that reinforce value capture, these assets are well-positioned to lead in the next market rebound.

Bitget2025/09/12 06:52

Trending news

More
1
Bitget VIP Weekly Research Insights
2
Bitget Daily Digest(September 11)|SEC Chair says most crypto tokens are not securities; Solana DeFi TVL hits new high; Aptos to unlock 11.31 million tokens today

Crypto prices

More
Bitcoin
Bitcoin
BTC
$116,093.73
+0.09%
Ethereum
Ethereum
ETH
$4,665.91
-1.13%
XRP
XRP
XRP
$3.09
-2.33%
Tether USDt
Tether USDt
USDT
$1
-0.03%
Solana
Solana
SOL
$247.67
+2.18%
BNB
BNB
BNB
$937.19
-0.31%
USDC
USDC
USDC
$0.9996
-0.02%
Dogecoin
Dogecoin
DOGE
$0.2896
-1.54%
TRON
TRON
TRX
$0.3507
-0.66%
Cardano
Cardano
ADA
$0.9160
-2.77%
How to sell PI
Bitget lists PI – Buy or sell PI quickly on Bitget!
Trade now
Become a trader now?A welcome pack worth 6200 USDT for new users!
Sign up now
Trade smarter