• MakerDAO is a decentralized stablecoin platform, operating on the Ethereum blockchain.

  • By staking the MKR token, users can vote on network specs and governance initiatives, including the stability fee, collateralization rates, and assets allowed to be used as collateral, etc.

  • Users may deposit predetermined assets as collateral against which they may print the DAI stablecoin.

  • The MakerDAO platform has built an infrastructure that aims to stabilize the price of DAI at 1 USD.

  • When a user decides to deposit DAI stablecoins into her Vault and withdraw her collateral, she is also required to pay an interest, or stability fee, to the network.

  • Stability fees are also used to buy back MKR tokens from the open market, which are subsequently burnt.