Cryptocurrency Maker (MKR): project overview, price, course chart, prospects and forecast, how to buy / sell
Maker is a platform for generating stablecoins, that is, cryptocurrencies pegged in value to fiat money. The functional token MKR is used for governance through public voting.
On July 23, 2020, Maker (MKR) cryptocurrency was listed on the Binance exchange. The rate has grown by almost 20%.
MKR token price to USD
|Name||Price||Market Cap||Supply||Change % (7D)||Performance|
MKR to USD chart
Maker (MKR) to Tether (USDT) chart
Cryptocurrency Maker (MKR) value in real time, quotes come from the Bitfinex trading platform.
Cryptocurrency Maker metrics as of May 3, 2019:
|Current issue||1 000 000 MKR|
|Maximum emission||1 000 000 MKR|
|Exchanges||Binance, EXMO, Huobi, KuCoin, OKEx, HitBTC, etc.|
What is Maker (MKR)
The main reason why Bitcoin and Ethereum cannot yet be used as everyday currencies is their high volatility. The cost can change by 25% in just one day or even 300% in a month. And stablecoin is a collateralized cryptocurrency, the value of which is stable in relation to the dollar or other fiat currency. The Maker developers believe that such coins are necessary in order to fully implement the principles of Blockchain technology.
Maker is a smart contract platform based on the Ethereum principle. On the basis of the site, the Dai token has already been created, which is equivalent to the US dollar. Also, any participant can use their Ethereum assets to create Dai.
MKR is a control token. MKR owners are responsible for making decisions about risky actions that affect the future of the system. Therefore, it makes sense for users of the Maker platform to store a certain amount of these tokens.
Description of the project, history of creation
Maker was announced in August 2015 as a tradable token on the Ethereum network. Funds for development were raised through the sale of MKR tokens for BTC and ETH through its own exchange, and in April 2016 the platform was launched.
Project manager Rune Christensen set out to create a “centralized-decentralized” bank with a US dollar-pegged asset as its cornerstone. This asset became known as Dai and was first released in December 2017. The project attracted institutional investors, which triggered significant price increases and a multi-billion dollar market capitalization in just a few weeks.
The Maker Platform operates according to the principles of DAO, or Digital Autonomous Organization. This means that artificial intelligence is used to control, regulate and stabilize the Dai value. But there is also a human factor: the Board of Holders meets weekly to discuss measures to be voted on and to be implemented by the network as a whole. These meetings have been held since the inception of Maker and place MKR token holders in many ways responsible for the fate of the system.
The Maker platform can be used by anyone to create Dai by depositing collateral assets into the system in exchange for Dai. These assets are then returned back to the holder when the debt is paid off.
Basically, the Maker is a half AI, half human system that tries to take the best from there and from there.
Feature, technical implementation
The developers call the key features of the platform:
✅ Freedom from mutability. Dai is a stable and decentralized cryptocurrency that has the potential to significantly transform the financial landscape, allowing businesses and individuals to realize the benefits of digital money without experiencing volatility issues.
✅ Economic opportunities for everyone. Financial services that were previously only available to a select few are now open to everyone. Maker is a transparent and maximally open platform that provides equal access to high-quality financial services, including fair credit for everyone.
✅ Flexible stablecoin. Dai is a solid, asset-backed currency. It is designed to maintain a stable exchange rate without restrictions.
✅ Loan on your own terms. The ability to get additional liquidity from assets in order to borrow a safe and stable form of money.
✅ Increase the exposure. By opening a Collateralized Debt Position (CDP), people can effectively trade on margin with the underlying asset.
The MKR token will play a more significant role after the system update than it is now. At the moment, it gives the right to vote in the development of the network, and in the future it will also act as a recapitalization resource. In the event that there is not enough collateral for debt positions (CDP), then the MKR offer is automatically diluted and sold, and enough funds are formed to restore collateral.
Advantages and disadvantages
Pros of the Maker platform:
- Transparency and high level of automation.
- A well-thought-out mechanism for creating Dai tokens.
- Natural stabilization of token prices.
- The possibility of recapitalization in the event of a lack of funds.
- Difficulty of work for beginners.
- The risks of the system functioning, fully taken over from the main platform – Ethereum.
- Not fully finalized recapitalization mechanism.
DAI and MKR tokens can be stored in any wallet that supports the ERC-20 coin standard, since the cryptocurrency does not have its own wallet.
Prospects and forecast
Experts are divided over cryptocurrency Maker. Some see it as a good way to accelerate the widespread adoption of digital media by eliminating the main controversial factor – high volatility. Others are convinced that the essence of the system fundamentally violates the very principle of cryptocurrencies, an example of which is shown by Bitcoin.
Be that as it may, the Maker developers have analyzed Dai’s success and are planning to continue to create tokens pegged to major world currencies. There has been positive progress in integrating fiat funds into a digital decentralized environment.
If we consider MKR as an investment asset, but only long-term investment will be relevant. It will take several more years before the platform develops enough for its functional tokens to jump significantly in price, although at the moment they have already shown good growth.