Spark

Spark was created to address persistent issues that have plagued decentralized finance since its inception: unstable yields, fragmented liquidity, and idle capital. Leveraging Sky’s $6.5B+ stablecoin reserves, Spark operates as a two-sided allocator. On the ecosystem side, it borrows directly from Sky’s stablecoin reserves and deploys capital into diversified yield strategies across DeFi, CeFi, and RWAs. On the user side, it packages these returns into accessible savings and borrowing products, such as sUSDS and sUSDC, enabling users to earn the Sky Savings Rate (currently 4.75%) without needing to actively manage complex yield farms.

At its core, Spark offers three primary pillars:

• Spark Savings: Users deposit stablecoins and receive sUSDS or sUSDC in return, representing their share of funds in the Sky Savings Rate. These tokens accrue value over time and remain composable across DeFi.
• SparkLend: A decentralized, non-custodial liquidity market protocol where users can supply assets, borrow USDC and USDS, or manage advanced positions across Ethereum and Gnosis Chain.
• Spark Liquidity Layer (SLL): An automated cross-chain liquidity engine that deploys USDS, sUSDS, and USDC into DeFi markets and allows seamless entry/exit from savings positions across supported networks like Ethereum, Base, Arbitrum, Optimism, and Unichain.

This approach positions Spark not as a competitor to other DeFi protocols but as an enabler. By providing deep, transparent liquidity, Spark helps power protocols like Aave, Morpho, Curve, and emerging projects across the Sky ecosystem. With $5.32B in SparkLend TVL, $3.16B in the Liquidity Layer, and $2.55B in Savings TVL, Spark is already one of the largest allocators in decentralized finance.

Security is also at the heart of Spark. The platform’s smart contracts have undergone multiple audits by top firms such as ChainSecurity and Cantina, and Spark runs one of the largest bug bounty programs in DeFi—offering up to $5 million for disclosed vulnerabilities.

Finally, Spark’s native token SPK aligns incentives across the ecosystem. Users can stake SPK to help secure the network and earn Spark points, farm SPK by locking SKY or USDS, and soon participate in governance to shape Spark’s future. The ongoing “Overdrive Airdrop” and “10% Loyalty Booster” reward early and committed participants.

Spark provides numerous benefits and features that make it a cornerstone of the DeFi yield infrastructure:

• Competitive Stablecoin Yields: Earn 4.75% on stablecoins with Spark Savings and withdraw anytime into USDC, USDS, or DAI with zero slippage or fees.
• Tokenized Savings: Receive sUSDS or sUSDC as a liquid, composable representation of your deposits, allowing transfers, staking, and lending.
• Decentralized Borrowing: Use SparkLend to borrow USDS and USDC at transparent rates set by Sky Governance.
• Cross-Chain Liquidity: The Spark Liquidity Layer enables seamless liquidity provision and savings access across multiple networks.
• SPK Token Utility: Stake SPK for points, farm SPK by locking SKY or USDS, and participate in governance.
• Institutional-Grade Security: Multiple smart contract audits plus a $5M bug bounty program to maintain robust security.
• Integrations with Top Protocols: Direct liquidity deployment into Aave, Morpho, Curve, and other major DeFi platforms.
• Sky Ecosystem Alignment: Built as a Sky Star, Spark benefits from Sky’s deep stablecoin reserves and governance framework.

Spark offers a straightforward path to start earning yield or borrowing within its decentralized ecosystem:

• Visit the App: Go to the Spark App to access all products including Savings, SparkLend, and the Liquidity Layer.
• Earn with Savings: Deposit USDS or USDC to receive sUSDS or sUSDC and start accruing the Sky Savings Rate immediately.
• Borrow with SparkLend: Supply assets like ETH, wstETH, rETH, cbBTC, and borrow USDS or USDC with transparent rates.
• Stake SPK: Stake your SPK tokens to earn Spark points and claim loyalty rewards like the Overdrive Airdrop.
• Use Cross-Chain Savings: Take advantage of the Spark Liquidity Layer to seamlessly enter or exit savings positions across supported networks.
• Stay Secure: Review audit reports and bug bounty details on the Spark site to understand security measures.