Review on Single Collateral DAI by phuong cong
DAI stablecoin with the MarkerDAO relationship
A stablecoin cryptocurrency is closely related to the MakerDAO smart contract platform on the Ethereum Blockchain that allows users to own ETH with DAI.
I can say the DAI is the most fundamental part of the MakerDAO ecosystem.
Like USDT, one DAI is worth 1 USD.
Unlike USDT, DAI is secured by collateral that is cryptocurrency instead of using Fiat. This will have advantages and disadvantages.
The DAI generation and MakerDAO use the DAI price stabilization principle, users can own DAI when mortgaging cryptocurrencies through a CDP contract, and they can get their assets back when paying DAI and fees to stabilize prices touch.
DAI is one of the leading stablecoins in the crypto space with a market cap of hundreds of millions of dollars.
It has been listed on most major exchanges.
Pros
- DAI guarantees price stability when it's always worth $ 1
- Decentralized, DAI is not controlled by a centralized organization
- The vast ecosystem helps DAI have many uses
- Users can mortgage cryptocurrencies to borrow DAI on MakerDAO
- Large market capitalization, high liquidity
Cons
- Dai is not integrated into the products of derivative exchanges
- DAI only uses ETH platform so when this network has congestion problem, it can cause DAI's transaction fees to skyrocket and speed slowly.
