Maker is a decentralized autonomous organization (DAO) that operates on the Ethereum blockchain, with the goal of creating a decentralized stablecoin called DAI, which is pegged to the US dollar. The Maker protocol allows users to lock up a volatile cryptocurrency such as Ether (ETH) as collateral and generate DAI, a stablecoin that can be used as a means of payment or as a store of value without being subject to the price volatility of its underlying asset. The Maker ecosystem is governed by MKR token holders, who have the power to vote on key decisions related to the protocol, such as setting the stability fee and managing the risk parameters for the collateral assets. Maker's vision is to create an open and transparent financial system, where anyone with an internet connection can access the same financial services as those offered by traditional banks, without the need for intermediaries or centralized institutions.
About $MKR token
MKR is the governance token of Maker, a decentralized autonomous organization (DAO) on the Ethereum blockchain that manages the Maker Protocol, a smart contract platform that enables the issuance of the stablecoin Dai. MKR token holders have the ability to vote on proposals for changes to the Maker Protocol, including adjustments to risk parameters, collateral types, and other system parameters. The value of MKR is directly tied to the health and success of the Maker Protocol and its ability to maintain the stability of the Dai stablecoin.
How to buy $MKR with a payment card
1. Enter the amount of $MKR and fiat currency that you wish to purchase.
2. Verify your phone and email.
3. Enter or create $MKR wallet
You are given the option to enter your $MKR wallet address or create one using the Swipelux widget.
4. Pass KYC flow
This verification process helps protect you from fraud and other malicious activities.
5. You're now ready to buy $MKR with a credit and debit card.
1. Market position and adoption: Maker (MKR) is a governance token for the MakerDAO ecosystem, which is a decentralized finance (DeFi) platform that enables users to borrow a stablecoin called DAI by locking up collateral in the form of other cryptocurrencies. MKR has a market capitalization of $753,706,170 and is ranked #70 among cryptocurrencies. It is on 168,529 watchlists and has a total value locked (TVL) of $7,446,607,714.
2. Technology and Platform: The MakerDAO platform is built on the Ethereum blockchain and utilizes smart contracts to manage collateral, mint DAI, and govern the protocol through MKR tokens. MKR holders can vote on proposals related to risk management, interest rates, and other aspects of the platform. The platform aims to provide a stablecoin that is backed by collateral and is resistant to volatility.
3. Team: MakerDAO was founded by a team of entrepreneurs and developers, including Rune Christensen, who serves as CEO. The team has experience in the blockchain space and has worked on various decentralized applications.
4. Competition: The DeFi space is highly competitive, with various projects aiming to provide decentralized lending and borrowing solutions. Some of the notable competitors to MakerDAO include Aave, Compound, and Synthetix.
5. Supply: The current circulating supply of MKR is 977,631, which represents 97% of the total maximum supply of 1,005,577. The fully diluted market capitalization of MKR is $775,241,195. The token is tagged as a store of value, DeFi, and DAO and is included in Polychain Capital's portfolio.
1. Smart contract vulnerabilities: MakerDAO is built on the Ethereum blockchain, and like any other smart contract-based platform, it is vulnerable to coding errors or security weaknesses. Any issues in the code could lead to the loss of funds or other negative consequences.
2. Centralized governance: Despite being a decentralized autonomous organization (DAO), MakerDAO still relies on a centralized governance model, where MKR token holders can vote on proposals that affect the platform. This centralization could lead to conflicts of interest or manipulation by large MKR holders.
3. Competition from other DeFi platforms: There are many other DeFi platforms that offer similar or even better features than MakerDAO, which could result in a loss of market share and value for the MKR token.
4. Regulatory risks: As the cryptocurrency market continues to develop, regulatory authorities may impose restrictions or regulations that could adversely impact the value and utility of the MKR token.
5. Market volatility: Like all cryptocurrencies, the price of the MKR token is subject to market fluctuations and can be affected by macroeconomic factors, investor sentiment, and overall market trends. This volatility can result in significant price swings and affect the overall health of the MakerDAO ecosystem.
Potential market development triggers
1. Increased adoption of DeFi: As more people begin to use decentralized finance protocols, the demand for Maker's stablecoin, DAI, is likely to increase, which could drive up demand for MKR.
2. Expansion of the Maker ecosystem: The Maker ecosystem has the potential to expand beyond its current offerings to include new financial products and services. If Maker successfully launches new products and services, it could increase demand for MKR.
3. Strategic partnerships: Partnerships with other projects or companies in the DeFi space could lead to increased visibility and adoption of Maker and its products, potentially driving up the value of MKR.
4. Improvement in governance and risk management: Maker's decentralized governance model relies heavily on its community of MKR token holders. If Maker can demonstrate effective governance and risk management, it could increase confidence in the project and lead to increased demand for MKR.
5. Regulatory clarity: As the regulatory environment around DeFi continues to evolve, clarity around how projects like Maker will be treated could be a positive catalyst for the project and increase demand for MKR.