The market crash of March 12th presented the DeFi sector with a real trial. Even the DeFi flagship MakerDAO couldn’t withstand the crisis losing $8 million to unscrupulous network participants during what is now known as Black Thursday. Yet, it’s not the only recent problem of the DeFi sector.
The recent market crash caused a lot of trouble for MakerDAO, the platform behind the Dai stablecoin and the largest DeFi project by value locked. Being largely collateralized by Ether, the stablecoin was impacted heavily by the decline in ETH price and the resulting gap in collateralization.
This article was written by Dmitry Bondar, a monetary theorist, cryptocurrency researcher and author of Stablecoins: From Electronic Money on Blockchain to a Cryptocurrency Basket exclusively for forklog.media. Views and opinions expressed herein are solely those of the author and do not necessarily reflect the views and opinions of the forklog.media editorial board. DAI is […]