HanRiverVision
Thu May 16 2024
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7 answers
1100
What is DAI backed by?
Could you please explain to me what DAI is backed by? I've heard about this cryptocurrency but I'm not entirely clear on its underlying mechanism. Is it similar to other stablecoins where it's pegged to a fiat currency? Or does it have a unique collateralization system? I'm particularly interested in understanding how its value is maintained and whether it's backed by any physical assets. Could you elaborate on these points and give me a clearer picture of DAI's backing?
CharmedEcho
Thu May 16 2024
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6 answers
1469
Is DAI or tether better?
I've been hearing a lot about DAI and Tether, but I'm still not sure which one is better. Could you help me understand the difference between them? DAI seems to be backed by collateral, while Tether claims to be pegged to the US dollar. But what does that really mean for investors like me? How stable are these cryptocurrencies compared to others? And which one has a stronger potential for growth in the long run? I'm looking for a reliable and stable investment option, so I'd appreciate your insights on this matter. Could you please elaborate on the pros and cons of both DAI and Tether, and help me make a more informed decision?
Margherita
Thu May 16 2024
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5 answers
1205
What does the DAI do?
Could you please explain to me what DAI does? I've heard about it in the context of cryptocurrency and finance, but I'm not quite sure what its role is. Is it a token? A platform? Or something else entirely? Could you elaborate on its functionalities and maybe give an example or two of how it's being used in real-world applications? I'm really curious to learn more about this fascinating aspect of the crypto world.
EmmaWatson
Thu May 16 2024
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5 answers
1397
Is DAI linked to USDC?
I'm curious about the relationship between DAI and USDC. Are they somehow interconnected? DAI is a decentralized stablecoin built on the Ethereum blockchain, while USDC is a centralized stablecoin issued by Circle and Coinbase. Do they share any similarities or dependencies? Or are they completely separate entities operating independently in the crypto ecosystem? Could you please elaborate on their relationship, if any, based on your knowledge in the field of cryptocurrency and finance?
SsangyongSpirited
Thu May 16 2024
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7 answers
1164
How does DAI keep its value?
DAI, as a stablecoin, aims to maintain a stable value, typically pegged to the US dollar. But how does it actually accomplish this? The mechanics behind it are intriguing. Is it backed by a reserve of assets? Does it rely on algorithms to adjust supply and demand? Or is there some other innovative approach at play? Understanding DAI's value retention mechanism is crucial for those navigating the cryptocurrency landscape. It's not just about the technology; it's also about trust and transparency. So, could you elaborate on how DAI manages to keep its value consistent? I'm curious to know the details behind this fascinating concept.
