Bitget App
Trade smarter
Buy cryptoMarketsTradeCopyBotsEarnWeb3

MakerDAO founder introduces new stablecoins: NewStable and PureDAI

Cryptobriefing2024/05/17 20:18
By:Vince Dioquino

Rune Christensen, the founder of MakerDAO, has unveiled two new stablecoins, NewStable and PureDAI, as part of the protocol’s controversial Endgame plan.

The new tokens are intended to eventually replace DAI, which currently commands a $5.4 billion market cap, placing it third overall in the stablecoin sector.

Christensen’s goal is to reconcile the two opposing paths for decentralized stablecoins: one prioritizing utility and scale by choosing a dollar peg backed by real-world assets (RWA) as collateral, and the other demanding complete independence from any sort of centralized control.

He argues that achieving both is now possible with the introduction of NewStable and PureDAI.

“From the moment Dai started scaling, it has been straddling two worlds,” Christensen said in a post to MakerDAO’s forums.

NewStable will be the main successor to DAI, focused on growth, yield, and resilience. It will take over the RWA aspect of MakerDAO while remaining attached to Maker, and introduce a novel freeze function similar to other RWA-backed stablecoins. Users can opt to upgrade their DAI to NewStable, although DAI will continue to operate as is.

“One world is the culture of pure decentralization as introduced with Bitcoin. The other is the desire to fulfill the original purpose of DAI by delivering utility and value to real people at scale,” Christensen explains, providing a distinction between the Endgame plan and the core values of the alpha crypto.

PureDAI, on the other hand, is positioned as a “return” to the project’s “ideological roots” supported by early community members and cypherpunk idealists. It will feature a free-floating target which “only very decentralized” participants can use as collateral through ETH and staked ETH (stETH). The new stablecoins will also allow users to leverage maximally decentralized oracles, minimal governance, and simple tokenomics that will promote stablecoin supply-side growth.

Christensen claims that there will be an initial “genesis supply” of 2 billion PureDAI governance tokens which will be distributed in batches of 400 million over five years, with a burn mechanism set in place.

0

Disclaimer: everything in the article represents the author's point of view and has nothing to do with this platform. This article is not intended to be used as a reference for making investment decisions.

You may also like

Michael Heinrich: AI seems destined to become central to everyday digital applications and services

Cointime2024/06/03 00:10

Bitcoin Miner Balance Drops Below 1.81 Million BTC

Cointime2024/06/03 00:10

Bitcoin rises 210%, Satoshi Nakamoto may become the world's richest man

Cointime2024/06/03 00:10

The total amount of funding in the crypto market in May was $1.019 billion

Cointime2024/06/03 00:10

‌Spot copy trading

More
AIOnline
AIOnline
insight1000/1000
9359.81%
ROI
Total profit $47735.04
WhaleGo_YouTube
WhaleGo_YouTube
insight500/500
1269.4%
ROI
Total profit $3685.87

Bot copy trading

More
BGUSER-FFF8CNJ4
BGUSER-FFF8CNJ4
insight8/150
$7892.34
Total profit
Total subscriber profits $210.93
TopTrader85
TopTrader85
insight150/150
$13284.03
Total profit
Total subscriber profits $137.16