Background Behind Maker (MKR)
In 2014 a new digital asset known as Maker was introduced to allow lenders and investors to participate in the Maker ecosystem. Rune Christensen is the founder of MakerDao and CEO of the Maker foundation, both key elements in the ecosystem of decentralised finance protocol Maker. The platform headquarters have been located in Denmark since it was first launched. Maker has successfully formed strategic alliances with companies like Digix, Request Network, Corgox and Swarm. On December 18, 2017, DAI and its associated smart contracts were officially launched on the main Ethereum Network.
Maker (MKR) Basics
Maker is an ERC-20 token native to the Maker Protocol, a decentralised finance project which is also known as the Multi-Collateral Dai (MCD) system as it allows users to leverage assets to generate Dai a community-managed decentralised cryptocurrency that tracks the price of USD.
Maker acts as a governance token, so MKR holders get to vote on the development of the Maker Protocol and proposals affecting the use of Dai.
DAI is a decentralised, unbiased, collateralized stablecoin soft-pegged to the US dollar. This may sound complicated, but in essence what it means is that it’s a cryptocurrency whose price roughly follows the dollar’s value without the need of a central authority.
Maker was built on Ethereum Blockchain, one of the largest decentralised applications on the Ethereum blockchain
Maker (MKR) Staking
The MakerDAO is a decentralised autonomous organisation, made entirely of MKR holders from around the world. These MKR holders are able to stake their MKR tokens in order to vote on proposed changes to the Maker Protocol as well as ensure the efficiency, transparency, and stability of Dai.
Maker (MKR) Mining
Maker tokens cannot be mined, like many other cryptocurrencies. Instead MKR is minted and burned.
Maker (MKR) Transactions Fee Speed
The Stability Fee is added to your total outstanding debt every time an incentivised party calls a public function (drip) in one of the Maker Contracts. For the Vault Owner this makes no difference and they can expect to have a total debt of the initial borrowed amount plus the stability fee.
Maker (MKR) Supply
One million of MKR coins were available when Maker DAO first began operating, A market valuation of more than 2.1 billion dollars and a supply of about 902,000 MKR are now in circulation. However the overall supply of Maker and their value fluctuates according to market rates and circumstances.
Maker (MKR) Security and Safety
The Maker Foundation’s highest priority is the security of the Maker protocol. This repository is dedicated to providing transparency to the community with respect to the results of the Multi-Collateral DAI Audits, the Bug Bounty Program and formal verification.
Maker (MKR) Volatility
Maker’s primary role is to keep the DAI fixed to the US dollar, this dual crypto method helps to avoid volatility and gives customers more confidence in the project stability.
Review and Final Thoughts on Maker (MKR)
Future goals for Maker include greater adoption and increased decentralisation, it entails pushing the use of its stablecoin DIA across other sectors and commercial items in addition to charity gambling the prediction market and cross-border corporate trade among additional industries that might gain. Maker is a unique initiative that fulfils its promise of development innovation and practical utility.