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According to news from BiJie Wang, Sky released a report stating that it recorded a net loss of 5 million dollars in the first quarter of 2025. This performance contrasts sharply with the net profit of 31 million dollars in the previous quarter.
The main reason for the losses is that the cost of interest payments to token holders has more than doubled, stemming from Sky's decision to incentivize the use of its new stablecoin USDS rather than the existing DAI. The report notes that while Sky offers a higher yield on USDS to attract users, this has led to a decline in the protocol's profitability, especially if the borrowing demand for USDS does not grow correspondingly. (CoinDesk)