MakerDAO Eliminating the volatility aspects of cryptocurrencies, Maker brings a huge investment benefits along with it as it is stable as it creates Dai to minimize the risk.
Our Joke Name
Maker = Stable Coin
Link to the main website
Link to price/market cap
Exchange Ticker (MKR)
Coin or Token
Circulating Supply (670 Thousand)
Total Supply (1 Million)
Block time (Under 60 seconds)
Market Cap Ranking
Cryptocurrencies have witnessed bulls and bear making it evident that the currency market is extremely volatile. Stability seems to be an obscure word for the crypto market. What if we tell you about a cryptocurrency that has been developed with the prime value of being stable – MakerDAO Dai. Eliminating the volatility aspects of cryptocurrencies, Maker brings a huge investment benefits along with it as it is stable as it creates Dai to minimize the risk.
As a collateral-backed cryptocurrency, Dai Stablecoin is more stable powered by Ethereum blockchain. Utilizing the Collateralized Debt Positions (CDPs), the platform gets automatic feedbacks and accordingly generates more Dai to stabilize the price. Dai is just like any other cryptocurrency that finds its use to make payments to another user or just an investment. While it will not spike up in price by 25% in a day, Dai is resistant to any sudden price downfalls too.
- Stable Coin
- Earn interest by lending Dai
- Automatic Liquidation
Dai is what the cryptocurrency traders had been waiting for! It is a stable coin that makes it a right instrument to invest for long-term as well as short-term benefits. Utilizing the Collateral assets, an investor can generate Dai with some debt utilizing the Marker platform that is based on ERC20 smart tokens called CDPs. With the automation feature, the Marker platform will receive a feedback and will keep the Dai price stable.
Earn interest by lending Dai
Dai functions in a manner so that the Dai holder can lend the coins and earn interest. The calculation of interest amount is easy to do with Dai as the coin is stable enough.
Dai does not pose any risk to it owner because the system is programmed in a way that if a CDP seems to be too risky, it can be liquidated as per the target price that was set. It is the Maker Platform that is capable of determining as to when a CDP becomes risky and must go for liquidation. As the process is automatic, the liquidity process is full proof.
Stability is a valuable aspect of a cryptocurrency. The Dai Stablecoin System offers a potent and practical solution to stabilize the value of Dai on an Ethereum based platform that works with a collateral backing to attain stability. With a direct Risk Management role of the MKR token holders, the new coin is entirely risk controlled. If a user closes the smart contract CDP, they are basically dissolving the DAI amount to regain the collateral they had given to the marker platform.
This closure asks for an interest fee to be paid in MRK that is destroyed by the Marker platform reducing the number of supply of MKR tokens and thereby spiking its price. MKR is inherently an ERC-20 token once listed on an exchange can be traded freely without being worried about the stability as its price is governed by supply vs demand that is stabilized by the automated feedback between the two.
- Limited potental for returns