Ross Ulbricht, the founder of SilkRoad, has issued a short follow-up to his essay on MakerDAO and how it could be redesigned and improved.
The follow-up amounts to a small correction to an assumption he made earlier about the Maker system.
In his essay, he was puzzled that the DAI Savings Rate, a reward for "Staking" the stablecoin, was higher than what DAI minters paid as interest rate.
Obtaining information on the outside world is considerably difficult for Ulbricht.
Ulbricht is currently serving a double life sentence plus forty years without parole for a variety of charges related to operating SilkRoad. An organization spearheaded by his mother, Lyn Ulbricht, is fighting to reduce the harshness of the sentence.
The somewhat unreliable data does not change the core of Ulbricht's proposal for MakerDAO, he argued.
These acted as a representation of the value held in the bank's vaults and derived their value from the fact that they could be redeemed for the gold.
In accordance with this system, Ulbricht argued that it is the vault holders that should be paid for locking their collateral and guaranteeing the value of DAI. The current system treats vault holders as borrowers instead of lenders, which according to him does not make sense when they are "Borrowing" an asset that would be otherwise worthless.
In his proposal, interest rates would be set by the market in a competitive bidding system.
MakerDAO's system has largely worked so far, though the March 12 incident and the resulting de-peg of DAI highlighted that it does not always work as intended.
Ross Ulbricht Uses Snail Mail to Send Correction for Blog Post on MakerDAO
Publicado en Aug 13, 2020
by Cointele | Publicado en Coinage
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