The French banking giant announces a significant step

One of the largest French banks is going to express great support to stablecoin DAI. How? It plans to purchase DAI tokens worth $ 40 million in bonds.

French bank and stablecoin DAI

Banking giant Société Générale is planning a project that will use stablecoin DAI in conjunction with bonds in the ETH network. It is a very important cooperation and historical connection of standard finances with DeFi.

MakerDAO is the decentralized autonomous organization behind the stablecoin DAI, which, like most stablecoins, is covered by the US dollar. The French bank plans to include tokenized bonds in the MakerDAO system.

“This first experiment at the crossroads between regulated and open source initiatives is designed to refinance tokenized bonds issued a year ago on the public blockchain ETH,” the Société Générale report said.

The French bank can certainly be considered a major player in the banking sector. It employs 138,000 people in 62 countries. MakerDAO wants to take this step to reduce its dependence on Ethereum and especially centralized stablecoins such as the USDC. It currently covers about half of the DAI tokens in circulation.

DAI’s USDC backing has dropped below 50% again. We plan for this trend to continue. Slowly but surely @MakerDAO is making steps to diversify the collateral pool. pic.twitter.com/GyGK35FNaa

– Sam MacPherson | hexonaut.eth (@hexonaut) October 5, 2021

DeFi and standard financial system

The design and the prepared project took place and in the community Maker provoked great support. This is an important step, proving that the combination of DeFi and the standard financial system can bring a completely different era.

One funny piece of information at the end. According to the founder MakerDAO, Run Christensen, it is obvious that he had no idea about the whole project.

Turns out it was the future of France all along! 😀

Amazed that I had no clue about this at all the whole time. This is one of multiple recent examples in Maker Governance of how the post-foundation model of organization is proving to be more scalable

– Rune Christensen (@RuneKek) September 30, 2021