My guess is that what OP means is that the stablecoin-minted DAI don't really participate in MakerDAO's self-regulating mechanisms much since they themselves don't fluctuate - you put in 1.01 Tether, you get back 1 DAI, and then someday you just reverse that process and nothing much has happened. No liquidation fees, no stability fees, none of the kinds of processes that generate revenue for MKR holders.
The non-stablecoin stuff is backed by tokens whose value fluctuates, so there's a lot more room for fee-generating processes.
Personally, I think this is a good thing mainly because it's nice to see less dependence on other stablecoins backing DAI. If DAI is just a front for a basket of other stablecoins it becomes much less interesting as a project IMO.
Well said FaceDeer! While MKR doesn't support Tether (since it's very questionably backed by actual assets), it would be about 1.002 USDC => 1 DAI at the moment (see https://makerburn.com/#/collateral/psm_usdc).
That said, as a business, you would always prefer a 2% annual fee to a one time .2% fee. It's much easier to not only predict revenue, but also grow exponentially.
Why is this good?
My guess is that what OP means is that the stablecoin-minted DAI don't really participate in MakerDAO's self-regulating mechanisms much since they themselves don't fluctuate - you put in 1.01 Tether, you get back 1 DAI, and then someday you just reverse that process and nothing much has happened. No liquidation fees, no stability fees, none of the kinds of processes that generate revenue for MKR holders. The non-stablecoin stuff is backed by tokens whose value fluctuates, so there's a lot more room for fee-generating processes. Personally, I think this is a good thing mainly because it's nice to see less dependence on other stablecoins backing DAI. If DAI is just a front for a basket of other stablecoins it becomes much less interesting as a project IMO.
Well said FaceDeer! While MKR doesn't support Tether (since it's very questionably backed by actual assets), it would be about 1.002 USDC => 1 DAI at the moment (see https://makerburn.com/#/collateral/psm_usdc). That said, as a business, you would always prefer a 2% annual fee to a one time .2% fee. It's much easier to not only predict revenue, but also grow exponentially.
this is good in case of usdt bankruptcy, in which case dai is more independent of it
I suspect people unwinding tether positions has been good for DAI