From the DAI site: > If the value of ether held as collateral is worth less than the amount > of Dai it’s supposed to be backing, then Dai would not b

From the DAI site: > If the value of ether held as collateral is worth less than the amount > of Dai it’s supposed to be backing, then Dai would not be worth one dollar > and the system could collapse. > Maker combats this by liquidating CDPs and auctioning off the ether inside before the > value of the ether is less than the amount of Dai it is backing. Note combats not prevents, it will go to zero with probability 1 [0]. [0] https://en.wikipedia.org/wiki/Gambler%27s_ruin https://en.wikipedia.org/wiki/Gambler%27s_ruin