Price Statistics
What is Dai (DAI)?
Dai (DAI) is a decentralized stablecoin pegged to the US dollar, created by MakerDAO on the Ethereum blockchain. Unlike centralized stablecoins backed by fiat reserves, DAI maintains its peg through overcollateralized crypto assets locked in smart contracts.
Users generate DAI by depositing collateral (ETH, WBTC, and other approved assets) into Maker Vaults at collateralization ratios typically exceeding 150%. This decentralized design operates without a central issuer who could freeze or confiscate tokens.
DAI has become a cornerstone of DeFi, widely integrated across lending protocols, decentralized exchanges, and payment applications. Its transparent, on-chain backing differentiates it from stablecoins requiring trust in centralized reserves.
How does Dai work?
The Maker Protocol maintains DAI's peg through a system of collateralized debt positions (Vaults), stability fees, and the DAI Savings Rate (DSR). When DAI trades below $1, mechanisms encourage users to repay loans and reduce supply. When above $1, minting becomes attractive.
MKR token holders govern the protocol, voting on collateral types, risk parameters, and system upgrades. If collateral values drop dangerously, the system can liquidate Vaults and auction collateral to maintain system solvency.
The Peg Stability Module (PSM) allows direct swaps between DAI and USDC at near-parity rates, providing an additional mechanism to maintain the dollar peg during market stress.
Dai Price History
DAI is designed to maintain a stable $1.00 price through its algorithmic mechanisms. Like other stablecoins, minor fluctuations occur — DAI has historically traded within a $0.98-$1.02 range during normal conditions.
During extreme market volatility, such as the March 2020 crash, DAI briefly traded above $1.10 as users rushed to repay loans. System upgrades and additional collateral types have improved stability over time.
DAI's market capitalization has grown to several billion dollars, reflecting demand for a decentralized stablecoin alternative. Supply fluctuates with DeFi activity and crypto market conditions.
Why buy Dai on EarnPark?
EarnPark offers DAI yield strategies with APY up to 7%, enabling you to earn on a decentralized stablecoin. Each strategy displays its risk classification for transparent decision-making.
For users who prefer decentralized assets, DAI on EarnPark offers yield generation while maintaining exposure to crypto-native infrastructure. Risk levels are clearly displayed for each available strategy.
Deposit DAI from external wallets or swap from other assets. Select a yield strategy aligned with your risk tolerance and start earning. Track performance and withdraw according to strategy terms.
