Overcollateralized borrowers deposit funds into Sky and receive DAI stablecoin.

Sky is a non-custodial stablecoin protocol built on Ethereum. Sky (previously MakerDAO) was founded by Rune Christensen and launched in 2015.

SKY tokenholders own and govern the protocol. They currently take all of the total interest and PSM fees paid by borrowers (revenue). Sky’s investors include a16z, Polychain, IOSG Ventures, etc.

governance

github

twitter

discord

etherscan

website

Stablecoin issuers

Sky | Fees and revenues breakdown

# Sky Token incentives Methodology

## 1. Overview

The Sky token incentives metric measures the USD value of token-based rewards or incentives distributed by the Sky protocol to users. However, Sky currently does not distribute any token incentives to users, so this metric is systematically set to zero across all time periods and supported blockchain networks. The metric maintains the same dimensional structure as other Sky protocol metrics (daily time series by product and chain) but uses a hardcoded zero-value approach rather than calculating actual incentive distributions.

## 2. Data sources

The Sky token incentives calculation uses the following data sources for dimensional structure:
- **Sky protocol contract states**: Vat contract ilk data, CDP Manager vault positions, and IlkRegistry collateral metadata from Ethereum
- **Ethereum blockchain events**: Parsed `Transfer` events for Lockstake Sky token supply tracking 
- **End-of-day token price feeds**: USD conversion rates for supported tokens
- **Token metadata**: Token decimals, contract addresses, and chain mappings

Note: While these data sources are used to establish the dimensional framework (timestamps, chains, products), the actual token incentives values are set to zero regardless of the underlying data.

## 3. Step-by-step calculation

### Component A: Schema inheritance from TVL calculation
- **Purpose**: Establish the dimensional structure (timestamp, product, chain) for the token incentives metric
- **Logic**: Extract the complete time series schema from the Sky TVL metric calculation, which includes daily timestamps, the `usds` product identifier, supported chain IDs, and timestamp grain specifications. This ensures the token incentives metric has the same temporal and dimensional coverage as other Sky protocol metrics
- **Key fields**: `timestamp` (daily boundaries), `timestamp_grain` (set to 'day'), `product_id` (set to 'usds'), `chain_id` (supported blockchain networks)

### Component B: Zero-value assignment
- **Purpose**: Set all token incentives values to zero across the entire time series
- **Logic**: For every combination of timestamp, product, and chain in the inherited schema, assign a `token_incentives` value of 0. This reflects Sky protocol's current policy of not distributing token-based incentives to users
- **Key fields**: `token_incentives` (hardcoded to 0)

### Final aggregation
- **Combining components**: The dimensional schema from the TVL calculation is combined with the zero-value token incentives field to create the complete metric structure
- **Currency conversion**: No currency conversion is needed since all values are zero
- **Time aggregation**: Daily time boundaries are maintained from the inherited TVL schema, ensuring consistent temporal alignment across Sky protocol metrics  
- **Final calculation**: The final metric value is always 0 USD in token incentives for every day, product, and chain combination. The finalize metric macro ensures proper schema validation, fills any temporal gaps with zeros, and applies chain availability filtering to include only supported blockchain networks.

*This methodology was automatically generated by Token Terminal's methodology analyzer.*

Value of native tokens distributed as incentives.

SkySKY

Token incentives

Token incentives

Competitive landscape

Chain breakdown