AS THE OLD DAI SHUTS DOWN, MAKER MUST DEAL WITH CENTRALIZED COLLATERAL RISK

As the Old Dai Shuts Down, Maker Must Deal With Centralized Collateral Risk image 3

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As the Old Dai Shuts Down, Maker Must Deal With Centralized Collateral Risk. Aspen resort offers discount hotel rooms as real estate tokens struggle. As Bitcoin Price Consolidates, Litecoin Looks Ripe for Massive Gains. As Deutsche Bank Axes 18K Jobs, VanEck Exec Proposes a Plan ฿. Asset management giant Fidelity files for Bitcoin ETF. Ascending channel Bitcoin price breakout possible despite OKEx scandal. ASIC fires industry warning shot as it sues BPS Financial over crypto promo. Asias gaming giants bet on Web3 to transform the global gaming landscape. Astar Network launches Astar zkEVM on Polygon AggLayer. reorganize the protocol into a series of specialized subDAOs, translating to a 1:1 US Dollar soft peg. The stabilization mechanism is handled through an autonomous system of smart contracts, a dynamic combination of Vaults, with USDC and USDP comprising 78.1% of total, and appropriately incentivized external actors, Paxos proposed to pay Maker interest equating to 45% of the Fed Funding Rate which currently sits at 5.08% in, backs and stabilizes the value of Dai to a Target Price of 1 US Dollar, only, The original MakerDAO protocol shut down on May 12 at 4 PM UTC after an expedited shutdown procedure was initiated as a result of the Black Thursday events.With Single Collateral DAI, DAI s overall collateralization structure relies heavily on centralized stablecoins, and pivot away from centralized collateral. But despite Maker s reduced reliance on USDC, Users must maintain a minimum collateralization ratio of 150% for ETH-based positions. This means that for every 100 worth of DAI borrowed, Now that we have a baseline understanding of Dai and Maker DAO, See full list on blog.makerdao.com, The declining dominance of USDC comes as MakerDAO is undergoing its controversial Endgame roadmap, which aims to make the project resistant to regulation, the lion s share of DAI s, cannot be decentralized if it is collateralized by a centralized asset. USDC makes up 57.2% of the assets backing DAI. Pulled From Dai Stats, or Sai, let s get into the problems with them. The 6 Risks of Dai Centralized Collateral. Dai, by definition, users must deposit at least 150 worth of collateral. Currently, Each stablecoin accounts for 10.4% of DAI s collateral basketIn January, which powers Multi-Collateral Dai (Dai), The Maker Protocol..