What is MakerDAO and how does it work ?
MakerDAO is a DeFi platform built on the Ethereum blockchain that allows users to generate and hold a stablecoin called DAI, which is pegged to the US dollar. The stability of DAI is maintained through a system of smart contracts and collateralized debt positions (CDPs). Users can generate DAI by depositing collateral in the form of ETH into a CDP. The value of the collateral is then used to issue a loan in DAI, which can be used for various purposes, including making purchases or trading on decentralized exchanges.
What inspired Rune to start MakerDAO ?
Rune was drawn to the potential of decentralized finance to provide financial services to people without access to traditional banking. He believed that by leveraging blockchain technology, it was possible to create a more equitable financial system that was transparent and accessible to everyone. He saw the stablecoin concept as a key component of this new financial system, as it would provide a stable store of value and medium of exchange for the cryptocurrency space.
How has MakerDAO evolved over the years ?
MakerDAO has experienced rapid growth since its launch in 2017. It has become one of the largest DeFi protocols in the space, with a total locked value of over $4 billion as of January 2023. In addition to DAI, MakerDAO has also launched a number of other stablecoins, including multi-collateral DAI, which allows users to collateralize their CDPs with a variety of assets, including ETH and other cryptocurrencies.
What challenges has Rune faced in his journey with MakerDAO ?
Rune and the MakerDAO team have faced a number of challenges over the years, including issues related to scalability, security, and regulatory compliance. However, they have consistently demonstrated their commitment to improving the platform and have consistently been at the forefront of innovation in the DeFi space. For example, they were among the first to launch a multi-collateral stablecoin, and they continue to be at the forefront of research and development in the DeFi space.
What are Rune’s future plans for MakerDAO ?
Rune’s vision for MakerDAO is to continue to drive innovation in the DeFi space and to provide more accessible and transparent financial services to people around the world. He believes that the potential of DeFi is still largely untapped, and that there is still much more that can be done to improve the space. He plans to continue to work on the development and growth of MakerDAO, as well as exploring new opportunities for collaboration with other DeFi protocols and traditional financial institutions.