Maker Protocol is a decentralized finance (DeFi) platform built on the Ethereum blockchain. It allows users to create and manage a stablecoin called DAI, which is pegged to the US dollar.To generate DAI, users deposit digital assets, such as Ethereum, into a smart contract as collateral. This locked collateral enables users to borrow DAI against it, typically at a ratio of about 150%, meaning they must provide more value in collateral than the amount of DAI they wish to borrow. The protocol maintains stability through a system of incentives and penalties. If the value of the collateral falls below a certain threshold, it can be liquidated to cover the DAI debt. Additionally, users pay Stability Fees, which are similar to interest rates, for borrowing DAI. MakerDAO governs the protocol, allowing MKR token holders to vote on changes and improvements. The aim is to ensure that DAI remains stable and secure while providing users with a way to leverage their assets without selling them.
Avalanche Treasury Co. to Go Public in $675M Deal With Mountain Lake Acquisition
Avalanche Treasury Co. (AVAT), a digital asset treasury company aligned with the Avalanche Foundation, said Wednesday it has agreed to