Standard Chartered has initiated coverage of the SKY token, issued by the project formerly known as MakerDAO. The bank set a price target of $0.325 for the end of 2028, which represents a fivefold increase from the reference price of $0.065 noted in a recent report.
Geoff Kendrick, the bank's global head of digital assets research, compared Sky to a federal bank, citing its governance structure, stablecoin issuance, and wholesale interest rates. Sky currently holds the position of the third-largest stablecoin issuer, trailing Tether and Circle.
The project is recognized as the leading issuer of yield-bearing stablecoins. According to Kendrick, the primary method for returning value to SKY token holders is through staking rewards, with buybacks serving as a secondary mechanism.
The bank's forecast for SKY suggests it will perform similarly to Ether while potentially outpacing Bitcoin by 2028. Standard Chartered projects that Ether will reach $18,000 and Bitcoin will reach $300,000 by the end of that year.
