Last Call: Balancer’s MKR to SKY Token Migration Deadline Looms on Sept. 18

Time's running out for MKR holders—Balancer's migration window slams shut in three days.

The countdown begins

Swap protocols don't wait for stragglers. The Sept. 18 cutoff means latecomers risk getting stuck with deprecated tokens—because nothing says 'decentralized finance' like a hard deadline straight out of traditional banking.

Migrate or stagnate

Active portfolios demand active management. This isn't your grandfather's savings account—it's defi, where hesitation gets penalized and timely action separates the savvy from the sidelined.

Why the SKY token migration matters

The switch from MKR to SKY is a key part of MakerDAO’s “Endgame” rebranding, which was launched in late 2024 and modernizes the protocol with new tokenomics, clearer governance, and improved accessibility.

SKY consolidates governance power into a single token while aligning with new mechanics such as staking rewards for USDS, the upgraded version of DAI (DAI).

To promote retail participation and enhance liquidity, the redenomination lowers the unit cost of governance tokens by setting a fixed 1:24,000 ratio. The penalty schedule is designed to hasten migration and strengthen adherence to the Sky ecosystem. It begins with a 1% deduction and compounds every three months up to 100% over 25 years.

Big moment for @SkyEcosystem (formerly MakerDAO) 🌊

The $MKR → $SKY migration deadline hits September 18th, and penalties can begin after Sep 22nd if approved by the governance.

Balancer has been proud to provide MKR liquidity for years.

Now it's time to evolve with them 🧵 pic.twitter.com/qG1ECPhv7x

The redenomination sets a fixed 1:24,000 ratio, lowering the unit cost of governance tokens to encourage retail participation and improve liquidity. The penalty schedule, starting with a 1% deduction and compounding every three months up to 100% over 25 years, is designed to accelerate migration and strengthen commitment to the Sky ecosystem.

Exchanges and protocols adapt

Exchanges have also begun enforcing the transition. Binance, Kraken, and Crypto.com have all suspended MKR trading and moved toward automatic conversions to SKY, with futures markets in MKR winding down ahead of potential SKY listings.

Balancer’s new SKY/WETH reCLAMM pool offers liquidity providers access to self-adjusting concentrated liquidity, a feature it describes as “next-generation pool tech” for Sky’s new governance model.

As of early September, roughly 61% of MKR had already been converted, leaving nearly 40% of the supply still to migrate. With the deadline days away, Balancer is urging liquidity providers and holders to act quickly to avoid penalties and to prepare for Sky’s next chapter