The MakerDAO community has started to allow the use of tokenized trade invoices and streaming music royalties as collateral for stablecoin loans, The Block has reported.
A recent vote in the MakerDAO community has given the green light for real-world assets to be used as collateral for stablecoin loans.
The startup Centrifuge has developed a protocol that allows users to convert real assets into securities against which interest-bearing ERC-20 tokens can be issued. Centrifuge has teamed up with Paperchain and ConsolFreight to tokenize music streaming royalties and trade invoices, respectively.
The objective is to use these tokens as collateral for the issuance of Dai tokens.
These new tokens issued by Paperchain and ConsolFreight will be the first collaterals that are not crypto-native, since at the moment MakerDAO only accepts as guarantees ETH, Basic Attention Token, Wrapped Bitcoin and USDC.
Once all the work is done it will be necessary to take another vote in order to decide whether the new code is added to the smart contract on the Ethereum blockchain.
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