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$DAI & @MakerDAO seem to lure & captivate people from a surprisingly diverse set of perspectives.
No matter what drew you into crypto, I'm sure at least some of the 21 PERSPECTIVES listed below will appeal to you.
👇 Thread 👇 (w/ eventually extra info on forked sub-tweets 🎁)
No matter what drew you into crypto, I'm sure at least some of the 21 PERSPECTIVES listed below will appeal to you.
👇 Thread 👇 (w/ eventually extra info on forked sub-tweets 🎁)
1) 💎 TRUST-MINIMIZED STABILITY
A non-custodial, censorship-resistant, stable, global money. An empowering store of value.
Flawless stability through a bear market of ~90% collateral price depreciation.
A non-custodial, censorship-resistant, stable, global money. An empowering store of value.
Flawless stability through a bear market of ~90% collateral price depreciation.
2) 🤲 ACCESS TO CREDIT
Cheap, fair, fully-auditable, permissionless credit for the underbanked and the weaker end of supply chains.
A grand humanitarian goal (longer term, of course) for the Dai Foundation.
Cheap, fair, fully-auditable, permissionless credit for the underbanked and the weaker end of supply chains.
A grand humanitarian goal (longer term, of course) for the Dai Foundation.
3) 💧 PERMISSIONLESS LIQUIDITY
Need money now but don't want to sell your crypto at current prices (long term bullish)? Want to increase leverage on your crypto portfolio?
Take a calculated risk by borrowing from your future self.
Need money now but don't want to sell your crypto at current prices (long term bullish)? Want to increase leverage on your crypto portfolio?
Take a calculated risk by borrowing from your future self.
4) 🎣 ALIGNMENT OF INCENTIVES
3rd parties acting towards their best interests, orchestrated by well-crafted incentives.
Governors w/ skin in the game: they're held accountable for their actions by bearing the costs of their mistakes via $MKR dilution.
3rd parties acting towards their best interests, orchestrated by well-crafted incentives.
Governors w/ skin in the game: they're held accountable for their actions by bearing the costs of their mistakes via $MKR dilution.
5) 🤖 AUTOMATION & EFFICIENCY
Overcollateralization & smart contracts allow for unprecedented levels of loan automation.
The resulting protocol rent can be so low it may effectively disintermediate some players from the legacy credit industry.
Overcollateralization & smart contracts allow for unprecedented levels of loan automation.
The resulting protocol rent can be so low it may effectively disintermediate some players from the legacy credit industry.
6) 🏁 IMMEDIATE USEFULNESS
Maker doesn't need to wait for L2 solutions, PoS or sharding.
By being a high-value low-throughput dapp, it's already adding value & growing, having captured 2% of ETH supply as collateral at beta (before the full-fledged MCD - Multi Collateral DAI).
Maker doesn't need to wait for L2 solutions, PoS or sharding.
By being a high-value low-throughput dapp, it's already adding value & growing, having captured 2% of ETH supply as collateral at beta (before the full-fledged MCD - Multi Collateral DAI).
7) 🔍 TRANSPARENCY
📢 Data geeks!
Trying to uncover valuable insights from raw crypto data? Your journey must touch Maker.
Delight yourself with a treasure trove of 1+ year of on-chain data exposing the behaviors of CDPs, feeds, keepers, etc.
📢 Data geeks!
Trying to uncover valuable insights from raw crypto data? Your journey must touch Maker.
Delight yourself with a treasure trove of 1+ year of on-chain data exposing the behaviors of CDPs, feeds, keepers, etc.
8) 🃏 VERSATILITY
DAI may evolve from USD to a basket of currencies or an index.
Also, Maker's architecture is more versatile than one might initially think. It can provide permissionless exposure to any target synthetic asset there's demand for.
DAI may evolve from USD to a basket of currencies or an index.
Also, Maker's architecture is more versatile than one might initially think. It can provide permissionless exposure to any target synthetic asset there's demand for.
9) 🏗️ #DEFI INFRASTRUCTURE
$DAI has been consolidating as the main building block for Open Finance.
Maker & its tools are omnipresent on hackathons, w/ strong dev mindshare.
Fiatcoins don't compete, because they lack fungibility.
$DAI has been consolidating as the main building block for Open Finance.
Maker & its tools are omnipresent on hackathons, w/ strong dev mindshare.
Fiatcoins don't compete, because they lack fungibility.
10) 🤳 PUSHING ADOPTION
Complexity of the Maker system can be confidently abstracted away from the $DAI end user.
W/ no volatility & ever more on/off-ramp options, $DAI overcomes great barriers to entry into crypto.
It unlocks smooth UX possibilities for all kinds of dapps.
Complexity of the Maker system can be confidently abstracted away from the $DAI end user.
W/ no volatility & ever more on/off-ramp options, $DAI overcomes great barriers to entry into crypto.
It unlocks smooth UX possibilities for all kinds of dapps.
11) 🤓 TECH LEADERSHIP
* thoughtful architecture
* consistent shipping
* leading research (formal verification)
* pioneered frameworks & tooling (Dappsys)
Watch @saturnial illustrating the respect shown towards Maker (even on non-core competences):
* thoughtful architecture
* consistent shipping
* leading research (formal verification)
* pioneered frameworks & tooling (Dappsys)
Watch @saturnial illustrating the respect shown towards Maker (even on non-core competences):
12) 🗨️ ENGAGED COMMUNITY
W/ no early listing at CMC/exchanges, no early hype & no ICO, Maker deliberately flew under the radar of unsophisticated speculators.
It cultivated a high signal-to-noise community, w/ people genuinely caring about the project.
W/ no early listing at CMC/exchanges, no early hype & no ICO, Maker deliberately flew under the radar of unsophisticated speculators.
It cultivated a high signal-to-noise community, w/ people genuinely caring about the project.
13) 🦑 PROJECT SCOPE
Even just within the blockchain space, Maker already touches a lot of challenging efforts:
* DAOs & governance
* oracles
* auctions
* DEXs
* formal verification
* interoperability
* tokenization
* and probably many others I'm missing...
Even just within the blockchain space, Maker already touches a lot of challenging efforts:
* DAOs & governance
* oracles
* auctions
* DEXs
* formal verification
* interoperability
* tokenization
* and probably many others I'm missing...
14) 🤝 ECOSYSTEM & PARTNERSHIPS
An impressive footprint, and constantly growing:
* regulatory advisory & capital (@a16z)
* supply chains (@tradeshift)
* on/off-ramps (@sendwyre)
* ecosystem funding (@L4ventures)
* UX (@InstaDApp, @imTokenOfficial, @Balance_io, @MakerScan)
* ...
An impressive footprint, and constantly growing:
* regulatory advisory & capital (@a16z)
* supply chains (@tradeshift)
* on/off-ramps (@sendwyre)
* ecosystem funding (@L4ventures)
* UX (@InstaDApp, @imTokenOfficial, @Balance_io, @MakerScan)
* ...
15) 🚁 PORTABILITY
Maker isn't completely dependent on Ethereum.
Although not w/o its drawbacks, it could port to another smart contracts platform in case of severe problems w/ Ethereum.
Maker isn't completely dependent on Ethereum.
Although not w/o its drawbacks, it could port to another smart contracts platform in case of severe problems w/ Ethereum.
16) 💰 PROFIT OPPORTUNITIES
Keepers get permissionless participation in arbitrage opportunities, such as:
* market making
* collateral liquidation
* adjusting $DAI supply
Risk is very low if leveraging composability (eg buying & selling in the same tx).
Keepers get permissionless participation in arbitrage opportunities, such as:
* market making
* collateral liquidation
* adjusting $DAI supply
Risk is very low if leveraging composability (eg buying & selling in the same tx).
17) 🦄 INVESTMENT OPPORTUNITY
On the cusp of reaching p/m fit.
Leading network effects & moat arise from an unrivaled money-based statefulness. Extremely hard to clone.
Combine this w/ solid token economics, and $MKR might reach fat protocol status.
On the cusp of reaching p/m fit.
Leading network effects & moat arise from an unrivaled money-based statefulness. Extremely hard to clone.
Combine this w/ solid token economics, and $MKR might reach fat protocol status.
18) 💇♂️ TAX STRATEGY:
Locking collateral is not selling it, thereby not triggering a taxable event.
So regardless of you being long term bullish on the collateral, CDPs can be a powerful tool when it comes to tax optimization.
Locking collateral is not selling it, thereby not triggering a taxable event.
So regardless of you being long term bullish on the collateral, CDPs can be a powerful tool when it comes to tax optimization.
19) ✊ SILENT REBELLION
Maker seems to be striking the right balance towards Min. Viable Decentralization:
* permissionless SContracts
* outsourced front-ends
* spurring a full ecosystem around it
* key VCs onboarded
* balanced marketing
One day: too widespread/loved to outlaw.
Maker seems to be striking the right balance towards Min. Viable Decentralization:
* permissionless SContracts
* outsourced front-ends
* spurring a full ecosystem around it
* key VCs onboarded
* balanced marketing
One day: too widespread/loved to outlaw.
20) 💪 GOVERNANCE & POWER
If $DAI ever gets to scale safely and realizes its full vision, Maker governance could grow into worldwide relevance.
If $DAI ever gets to scale safely and realizes its full vision, Maker governance could grow into worldwide relevance.
21) 🕊 IMPACTFUL VISION
The potential to finally solve the Triffin dilemma, providing a fair stateless global money w/ better alignment of incentives.
en.wikipedia.org/wiki/Triffin_d…
The potential to finally solve the Triffin dilemma, providing a fair stateless global money w/ better alignment of incentives.
en.wikipedia.org/wiki/Triffin_d…
I say longer term b/c this vision requires extra developments not yet imminent, for instance the maturity of markets around tokenized:
* real estate
* future income
* etc.
Hopefully Maker helps accelerate real-world value being sucked into Ethereum. 🕳️
* real estate
* future income
* etc.
Hopefully Maker helps accelerate real-world value being sucked into Ethereum. 🕳️
Also:
Some conversations on that note:
Hyperwoke!
More:
The obvious case: every dapp whose smart contracts need to hold value for some period of time (eg @AugurProject) benefits greatly from integrating $DAI.
Related:
Re composability:
Re keepers:
And of course, the disclosure:
* This is not investment advice.
* Do your own research.
* I'm long $MKR.
* This is not investment advice.
* Do your own research.
* I'm long $MKR.
Continuing...
$MKR surprisingly even "drinks some of $ETH's milkshake" 🥤, w/ some investors holding $MKR (and no $ETH), betting it carries the upside and less of the downside.
Reasoning:
$MKR surprisingly even "drinks some of $ETH's milkshake" 🥤, w/ some investors holding $MKR (and no $ETH), betting it carries the upside and less of the downside.
Reasoning:
Skype, Uber, Airbnb didn't ask for permission. They quickly grew regulator-unfriendly products/services people cared about.
MVD reference:
medium.com/@jbackus/minim…
cc @backus
MVD reference:
medium.com/@jbackus/minim…
cc @backus
