AirSwap And MakerDAO Form Collaborative Partnership To Power Decentralized Crypto Marketplaces

&l;p&g;&l;img class=&q;dam-image shutterstock size-large wp-image-1091519774&q; src=&q;×0.jpg?fit=scale&q; data-height=&q;640&q; data-width=&q;960&q;&g; Shutterstock

&l;span style=&q;font-weight: 400;&q;&g;Stablecoins, also referred to as &a;ldquo;&l;/span&g;&l;a href=&q;;&g;&l;span style=&q;font-weight: 400;&q;&g;the holy grail of cryptocurrencies&l;/span&g;&l;/a&g;&l;span style=&q;font-weight: 400;&q;&g;,&a;rdquo; are becoming a vital part of the cryptocurrency ecosystem due to their unique stability. A stablecoin is a cryptocurrency that is pegged to the value of an underlying asset, such as fiat currencies like the US dollar, or financial assets like real estate. This ensures that the value of a stable coin remains stable, differentiating itself from other volatile cryptocurrencies, like Bitcoin.&l;/span&g;

&l;span style=&q;font-weight: 400;&q;&g;While a stablecoin may sound like an oxymoron for the crypto market, the volatility associated with Bitcoin and other digital currencies is one of the biggest barriers facing the widespread adoption of cryptocurrencies today. As a result, more stablecoins are being produced. Yet in order for cryptocurrencies to gain mass adoption, emerging stablecoins must be integrated across leading cryptocurrency marketplaces.&l;/span&g;

&l;b&g;Dai and AirSwap: A Match Made In Crypto Heaven&l;/b&g;

&l;span style=&q;font-weight: 400;&q;&g;In an effort to bring the world closer to a decentralized future of finance, &l;/span&g;&l;a href=&q;; target=&q;_blank&q;&g;&l;span style=&q;font-weight: 400;&q;&g;AirSwap&l;/span&g;&l;/a&g;&l;span style=&q;font-weight: 400;&q;&g; &a;ndash; the leading cryptocurrency marketplace that launched last month and saw $1 million worth of trades made over it&s;s marketplace within first 24 hours&a;nbsp;- has partnered with &l;/span&g;&l;a href=&q;; target=&q;_blank&q;&g;&l;span style=&q;font-weight: 400;&q;&g;MakerDAO &l;/span&g;&l;/a&g;&l;span style=&q;font-weight: 400;&q;&g;to bring the &a;ldquo;Dai&a;rdquo; stablecoin onto its platform. &a;nbsp;The Dai stablecoin is paired with the US dollar, meaning that one Dai token is equivalent or close to the value of one USD.&l;/span&g;

&l;span style=&q;font-weight: 400;&q;&g;&a;ldquo;Dai provides stable denominations for token trades, which are incredibly important for a decentralized marketplace like AirSwap. We&a;rsquo;re excited to work with the Maker team to enable the adoption of Dai, collaborate on protocols, and push decentralized trade forward,&a;rdquo; Don Mosites, Co-Founder of AirSwap, told me.&l;/span&g;

&l;span style=&q;font-weight: 400;&q;&g;According to a &l;/span&g;&l;a href=&q;; target=&q;_blank&q;&g;&l;span style=&q;font-weight: 400;&q;&g;MakerDAO blog post&l;/span&g;&l;/a&g;&l;span style=&q;font-weight: 400;&q;&g;, the vision behind Maker is to create a decentralized stablecoin that will open up the benefits of a complete financial ecosystem fully reliant on the blockchain. Unlike a stablecoin that is managed by a group of financial experts that are responsible for holding funds in escrow accounts, Dai is operated on the Ethereum blockchain, which backs and stabilizes that value through a dynamic system of Collateralized Debt Positions (CDPs) and autonomous feedback mechanisms. It is a fully decentralized infrastructure without a central operator.&l;/span&g;

Joseph Lubin, the co-founder of Ethereum, founder &a;amp; CEO of ConsenSys and advisor to AirSwap, explains the benefits of the multilayer process MakerDAO takes to ensure price stability.

&l;/p&g;&l;blockquote&g;&l;span style=&q;font-weight: 400;&q;&g;MakerDAO is a price-stable token system enabling tracking of the USD using a multilayer mechanism to ensure price stability even in extreme circumstances, in which volatile counterparts in the system might gyrate wildly. &a;nbsp;The base MKR token represents a half billion dollar monetary, while the related Dai token tracks the USD – both have significant daily volume. The system effectively functions like an automated central bank whose mandate is to track the USD. Price stable tokens like Dai will be extremely important for blockchain-based e-commerce and financial industry mechanisms, like delivery of securities versus payment.&l;/span&g;&l;/blockquote&g;

&l;span style=&q;font-weight: 400;&q;&g;For example, a primary reason to have Dai integrated on the AirSwap platform is that it allows AirSwap users to price assets with less volatility. The availability of Dai on the AirSwap marketplace marks a broader trend in the ecosystem where fiat and centralized options for stability are no longer needed. Without Dai, traders must either subject themselves to the volatility of the cryptocurrency market or face the expensive and inefficient process of converting their crypto to fiat.&l;/span&g;

&l;!–nextpage–&g; &l;span style=&q;font-weight: 400;&q;&g;Moreover, the Dai stablecoin provides an entirely decentralized option for achieving stability, making it a natural fit for a decentralized marketplace like AirSwap.&l;/span&g;

&q;We&s;re excited to share with our partners a broader vision of a decentralized future. To reach that point, we will need to build out scalable infrastructure for financial trades to occur, as well as access to global liquidity. With AirSwap, users remain in control of their assets and can trade in a truly peer-to-peer network. We&a;rsquo;re proud to work together to bring forward the future of finance,&a;rdquo; Rune Christensen, Founder of MakerDAO, told me.

Leave a Reply

Your email address will not be published.