lawson baker : 88发 babafa - @lwsnbaker2 months ago
RT @ricburton: “I was delighted to find out that even with just my meager programming skills, developing for Ethereum is so incredibly easy that I've been able to come up with what I believe is close to being the perfect design for a stable cryptocurrency.”
@runkek 2015 https://t.co/6Nw42L0ZZq
“I was delighted to find out that even with just my meager programming skills, developing for Ethereum is so incredibly easy that I've been able to come up with what I believe is close to being the perfect design for a stable cryptocurrency.”
@runkek 2015 https://t.co/6Nw42L0ZZq
Never seen anything about eDollar before, but I'm seeing a lot of my own thoughts mirrored here. We should def get /u/Rune4444 involved here if he's interested.
the collateral requirements/selloff points seem arbitrary. Shouldn't there be some kind of governance structure to tweak that?
A peg to the USD or any specific currency/basket seems short sighted. What if the value of the USD drops overnight, should the value of eDollar too as well?
Staking seems really interesting.
Reliance on augur seems like a point of failure. Schellingcoin isn't Nash stable, and its unclear how it will perform if there are other incentives (like triggering eDollar market operations). Besides, what happens if people lose interest in Augur and switch to an alternative prediction market.
I can't comment on the others but
The point of a stable coin is that it's value stays stable relative to some other asset such as USD or an oz of gold or barrel of oil or something, so yes, if the value of USD crashes, the eDollar will crash as well.
This makes the Dai more stable, but an eDollar or eEuro is more useful since people will want to actually use them in contracts.
However, if we want to make a really stable token, we can maybe have a DAO vote on the underlying basket of assets.
eDollar has evolved a lot since the post was made last spring. Among other things the stablecoin has been rebranded to Dai and will be pegged to the SDR rather than the USD. The Dai Alpha is also launching very soon!
More info on https://makerdao.com/
The USD is still a local currency in the sense that it closely tracks the US economy and can see quite a bit of volatility when the U.S. Economy fares differently than the rest of the world. The SDR recently was updated to also include the CNY in its basket, and is now highly diverse in its exposure, approaching a global average. The goal is that people should be able to hold and use dai anywhere in the world without having to fear losing money relative to their own currency.
Another thing is that we've already given up on maintaining a 1:1 peg with any asset, as it's not really possible unless the assets are fungible (or you use yield which is just a trick with numbers)- instead we target stable deflation with the SDR as the starting point. So it's like a inflation targeting fiat currency but where we target slow and steady deflation, which we call deflationary yield (which takes over the role that explicit yield has in 0.2 of the DCS). Without a 1:1 peg the biggest advantage of using USD, it's familiarity, disappears anyway - an example of this is bitUSD, the bitshares USD asset which trades above parity because it enforces full liquidity at 1 USD.
> we've already given up on maintaining a 1:1 peg with any asset
It doesn't need to be 1:1 to call it pegged, but it should be on a _stable_ ratio ;)
> instead we target stable deflation with the SDR as the starting point.
How can you predict the behaviour if you aren't able to control supply?
Or are you able to control supply and I just missed that?
We can control supply using the insurance rate, which acts like the discount rate in central bank monetary systems. Increasing it makes the price go up, decreasing it makes the price go down. In the long term when Maker is fully autonomous and market driven, it will strive to optimize it's net cash flow, which should put the insurance rate in a spot where the deflation is as steady as possible. The end goal is to have monetary policy controlled by a futarchy, which will likely be the closest we will get to perfectly stable value.
Yep, risk parameters and monetary policy will be controlled by the DAO owners (MKR holders), initially by delegating (heavily restricted) power to a human governor, and eventually to a futarchy which should make it fully decentralized yet flexible and with fast reaction times.