⇘ DAI Coin Faces Market Shake-Up Amid Rebranding, Acquisition, and Regulatory Changes
Ethena’s USDe has overtaken DAI to become the third-largest stablecoin. In an attempt to optimize profits, you can Convert FTM to DAI....
In the range of latest news in the crypto sphere, the stablecoin realm has had some reshuffling events. Ethena's USDe has surpassed its competitor, DAI, becoming the third-largest stablecoin due to investors' heightened interest in yield. This comes as an interesting turn of events as leading crypto platforms like Coinbase exhibited a shift in preference deciding to delist various stablecoins, including USDT, PAX, PYUSD, and also DAI.
The crypto platform, MakerDAO, having recently transformed itself into Sky, decided to upgrade DAI stablecoin to USDS which has since seen a considerable growth achieving a market cap of $490m only within five days post the rebrand. However, the upgrade hasn't been without its pitfalls. A large amount of DAI, specifically $55m, was tragically lost to a phishing attack. As a result of the rebrand to Sky, various controversial discussions regarding stablecoin options and subsequent challenges have unfolded among the Gnosis Community.
The Ethena USDe's triumph doesn't appear to be without growing concerns. The beta growth fuelled by the Ethena USDe has heightened market volatility leading to MakerDAO implementing necessary fee adjustments. Moreover, MakerDAO's decision to shift from DAI in favor of USDe has triggered an opposition from Aave, as they perceive the switch to be a potential expansion risk leading to ongoing discussions and debate. Amid fears and speculations, Aave is considering dropping DAI as collateral. Perhaps to offset these concerns, MakerDAO has increased DAI's debt ceiling to $1B, expanding collaborations with Ethena and Morpho Labs.
In addition, the situation has added to the suspense within the asset market as the Ethereum Foundation offloaded 100 ETH for 334k DAI. Add this to the scrutiny around Maker's new USDS stablecoin's freeze function, and we are left with an atmosphere riddled with suspense and intrigue.
DAI Coin News Analytics from Wed, 20 Nov 2019 13:08:27 GMT to Tue, 17 Dec 2024 12:41:31 GMT - Rating 0 - Innovation 5 - Information 2 - Rumor -6
