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14483443 No.14483443 [Reply] [Original]

What's the point of DAI?

>If you want a loan of $1000, you need to generate 1000 DAI tokens and for this you need to deposit at least $1500 worth of your ETH.

Why the fuck wouldn't you just cash your ETH out on an exchange instead? Then you have $1500 instead of $1000 which is also costing you interest.

>> No.14483481

>>14483443
leveraging ETH (use your 1k DAI tokens to buy more ETH), or getting fiat without selling ETH and creating a taxable event

>> No.14483570

>>14483481
>leveraging ETH (use your 1k DAI tokens to buy more ETH)

Just use a leveraging exchange.

>or getting fiat without selling ETH and creating a taxable event

Except you're stuck with useless DAI then.

>> No.14483645

:^)

>> No.14483661

>>14483443
DAI is a fucking genius concept (though it's a continuation of BitShares), you just have to understand it fully

>> No.14483715

>why don't you just use this centralized solution
the absolute state of 2019 crypto "investors"
there is literally no point to any of this all the way up to bitcoin if centralized pitfalls don't concern you, dummy

>> No.14483716

>>14483570
Most places that accept crypto accept Dai now Anon. Also fuck a centralized exchange for leverage. The future is trustless environments that projects like MakerDAO and Dai make possible.

>> No.14483724

>>14483443
Say you want to long ETH, you put your ETH in a CDP and use the DAI to buy more ETH, then put that ETH into a CDP and get more DAI. Or you could use the DAI to buy another shitcoin that you want to hedge against ETH

>> No.14483725

>>14483570
>just use a leveraging exchange
doing it via smart contract lets you do it off the books and avoid counterparty risk
>useless DAI
There's a DAI-USD pair on coinbase

>> No.14483766

>>14483715
But it's pegged to the fucking DOLLAR.

That's not decentralized at all.

>> No.14483804

>>14483725
>There's a DAI-USD pair on coinbase

Then why not just use CB in the first place?

>> No.14483857

>>14483661
I understand that I'm paying a disgusting 19.5% APR for a loan.

>> No.14484090

>>14483443
Dont forget about Kyber Network to complete the puzzle that will solve so many issues in our financially decentralized future of Interoperability

>> No.14484107

>>14483443
>what is longing eth on margin
stay poor faggot

>> No.14484119
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14484119

>>14483804
because then you would be selling ETH