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Even DAI is kind of shady, if I understand correctly. The main mechanism they use to regulate demand and try to ensure the 1:1 exchange is the Dai Savings Rate,
by gjulianm 4y ago
Even DAI is kind of shady, if I understand correctly. The main mechanism they use to regulate demand and try to ensure the 1:1 exchange is the Dai Savings Rate, which is interest you earn by locking Dai into the savings smart contract. But right now, I don't think there's many places where you can actually use Dai to buy/sell goods and services, so the only "exit" is to sell that DAI to other people.
Considering the few places where you can actually use cryptocurrencies, even stable ones like DAI, it's weird that there's so much demand and volume. Operations on DAI have amounted to almost a billion dollars in the last 24h according to Coinbase, how much of that comes from trading and how much from other economic transactions?