Dai Stablecoin Reaches 100 Million in Debt Ceiling – An All-Time-High
The Dai (DAI) stablecoin reached the protocol’s built-in debt ceiling of 100 million as there have been 100 million Dai tokens minted. The nearly two-year-old stablecoin project had an original debt ceiling of 50 million, which was raised to 100 million in July 2018.
Dai, created by MakerDAO, has a core function of allowing users to borrow or generate Dai by staking their cryptocurrencies as collateral. The MakerDao team and its community members are planning a governance vote on Nov. 8 to raise the debt ceiling by an additional 10-20 million.
Unlike other stablecoins that are backed by fiat currencies or commodities, Dai is not supported by reserve currencies, but rather Ether generated collateralized debt position (CDP) smart contracts.
Rune Christensen, CEO of the Maker Foundation, announced on Oct. 9 that the foundation would release a multi-collateral Dai (MCD) later this month. Changes to the nomenclature of its current asset will be made with the release of the new coin.
The new user interface of the Maker Protocol after the release of MCD will label CDPs as “Vault.” MCD would allow users to stake assets as collateral, and Ether will be stored in an Ether vault, while Basic Attention Tokens (BAT) would be stored in a BAT vault.
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