Anil Kondla
Last Updated on March 20, 2024 by Team Experts
Dai is known to be popular as one of the first decentralized stablecoin. Very much like USDT, Dai prices stay near to one dollar, although USD does not back it. It was launched in December 2017 as an Ethereum token. It is authorized and maintained by MakerDAO. Usually Dai coin are borrowed using Ether, the currency of Ethereum. Simply put, Dai can be bought only as a collateral, since it’s mostly pegged to a stable price with little swaying. An example will be since it has a collateralization ratio of 150%, depositing $150 equivalence of Ether we get $100 equivalence of Dai. When the collateral decreases the loan is closed down using smart contracts as an impromptu. Similarly, when the collateral rises more Dai can be borrowed. The borrowed Dai is dissipated, when the collateral is paid back. Dai is available on exchanges like KuCoin, Coinjar, Panda and Korbit. The version of DAI we use is an upgraded form of the stablecoin, known as Multi Collateral DAI, since it permits use of many different assets to create it.
Dai is considered to be listed under top 20 cryptocurrencies. Dai currently is worth from $0.9995 to $1.00. Its market capitalization is counted to be $9.445 billion and an almost identical circulating supply of 9.45 billion DAI. It reached its highest to $1.15 in September 2020 and lowest to $0.89 in June 2021. It has a high probability to end 2022 with a maximum price about $1.10.
DAI price prediction 2023
The price forecasts show the minimum price to be $0.96 in the first quarter of 2023, but can fall to $0.53 by mid-year around June or July. Whereas the maximum price by March to September is expected to be ~$1.60 and by December 2023 it should maximize to $1.72.
DAI price prediction 2025
Dai is predicted to have a trading value of minimum $0.89 to $0.99. It shall grow to a maximum of $1.278 to $1.49 till August 2025 and should enhance to ~$1.87 by December 2025.
DAI price prediction 2030
Dai in 2030 can be expected to cross $2.00 as maximum price and minimum price around $1.12.
Advantages and Benefits
Dai is impartial unlike other cryptocurrencies that sways its price with the market. It helps everyone by allowing them to use services that yield immense financial freedom. This is not regular with other networks, because financial services need good credit proofs, minimum deposit amounts and many other personal data. Every of its token values are the same throughout the world, which can be traded peer to peer without any hindrance from a third party.
DAI holders benefit from DSR or Dai Savings Rate by holding special smart contracts. There are no topographical barriers, no subsequent fees required and no minimum deposits. Being a steady medium, it helps with foreign transactions and settling debts.
Conclusion
Dai can never be considered as a good long-term investment. Since it is always pinned near one US dollar, it is only germane to hold DAI at a time of downturns or prevent investments from crashing. Dai is basically a safe haven investment where there is very little predicament of any gain or loss.
Read more: What is the Best Wallet to Sell Bitcoin?
