MakerDao DAI: Safe Stablecoin for Hodling?
📝 Overview 📝
DAI is the stablecoin offering that is produced by the MakerDAO team. It uses Ethereum smart contracts to maintain a peg with the US dollar of 1 to 1.
This is completely decentralised unlike the other stablecoins that rely on US dollars that are kept in a bank account. It is also a strong alternative to tether given the challenges that the coin faces.
DAI keeps this 1:1 peg with the US dollar by adjusting the supply of the coin dynamically. The supply will adjust in order to bring the price up or down depending on how much it strays from $1.
DAI was created by the MakerDAO team which uses the MKR token. The MKR token is used in this ecosystem when it comes to governance and voting. It is also used in order to pay interest to those people who have taken out the CDP loans.
DAI was released in 2017 and has seen increasing adoptinon on a number of exchanges. It has also been able to keep the peg effectively even in extreme market volatility.
It is currently traded on a number of exchanges including Coinbase Pro and HitBTC (we would suggest Coinbase Pro)
⛓️ 🔗 Helpful Links 🔗 ⛓️
► Website: https://makerdao.com/en/dai/
► Whitepaper: https://makerdao.com/en/whitepaper#ov...
► Purple Paper: https://makerdao.com/purple
► CDP Portal: https://cdp.makerdao.com/
► Documentation: https://makerdao.com/documentation/
📜 Disclaimer 📜
The information contained herein is for informational purposes only. Nothing herein shall be construed to be financial legal or tax advice. The content of this video is solely the opinions of the speaker who is not a licensed financial advisor or registered investment advisor. Trading Forex, cryptocurrencies and CFDs poses considerable risk of loss. The speaker does not guarantee any particular outcome.