Watching DeFi Slowly DAI

𝐋𝐄𝐀𝐑𝐍 𝐓𝐎 𝐁𝐔𝐘 𝐀𝐍𝐎𝐍𝐘𝐌𝐎𝐔𝐒 𝐁𝐈𝐓𝐂𝐎𝐈𝐍➜➜➜
https://www.trader.university/courses/38824-the-ultimate-guide-to-bitcoin
Use the discount code YT99 to get the best price.

In this video, I discuss another example of why DeFi (Decentralized Finance) is “decentralized in name only” (DINO).

MakerDAO and DAI began as a clever idea for an algorithmic stablecoin, but they have become increasingly captured both by insiders, as well as by regulated institutions like Circle and Coinbase.

As more and more of the collateral behind DAI is regulated, centralized stablecoins like USDC, it becomes increasingly easy to freeze the underlying collateral and cause liquidations across DeFi Land.

What’s even more laughable is that some of this USDC collateral is now being parked at Coinbase, thus adding in another regulated actor that can mess with DAI’s collateral.

There’s only one credible neutral foundation for Decentralized Finance, and that is Bitcoin.

Not investment advice! Consult a financial advisor.

DAI collateral pie charts:
https://daistats.com/#/overview

Circle can freeze USDC at any time:
https://beincrypto.com/circle-pledges-action-after-freezing-75k-tornado-cash-linked-usdc/
https://www.coindesk.com/markets/2020/07/08/circle-confirms-freezing-100k-in-usdc-at-law-enforcements-request/

MakerDAO Votes to Custody $1.6 Billion in USDC With Coinbase:
https://decrypt.co/112808/makerdao-custody-usdc-coinbase

Coinbase blog post:
https://www.coinbase.com/blog/coinbase-launches-usdc-institutional-rewards-program-with-makerdao

Ethereum validators are actively censoring addresses and transactions:
https://www.mevwatch.info/

OFAC:
https://home.treasury.gov/policy-issues/office-of-foreign-assets-control-sanctions-programs-and-information

MakerDAO not very good at negotiating yield:

The program described the following yield schedule for the USDC onboarded by @MakerDAO:

• 1% APY on the first 100 million USDC.

• 0.1% more APY on each 100 million USDC thereafter.

• Rewards are not to exceed 1.5% APY.

3/

— Maker (@MakerDAO) October 24, 2022

MakerDAO’s decentralization theater:
https://www.coindesk.com/tech/2021/07/20/makerdao-moves-to-full-decentralization-maker-foundation-to-close-in-months/

MakerDAO Has Come Full Circle

VC’s also control MakerDAO:
https://medium.com/@MakerDAO/a16z-crypto-purchases-6-of-mkr-backing-stablecoin-vanguard-makerdao-ff410a692393

Chaos at MakerDAO:
https://decrypt.co/113118/makerdao-splits-endgame-proposal

The Endgame Plan is an exceptionally bad proposal, and it's really sad for Maker that it passed the signal (shoved through by @RuneKek singlehandedly in face of strong and justified criticism.)

How much of it will actually be implemented remains to be seen https://t.co/MSO2eNoRwF

— Hasu⚡️🤖 (@hasufl) October 25, 2022

I am not being paid or otherwise compensated by any company or cryptocurrency project that I mention in my videos.

My opinion is not for sale. Please do not contact me with any affiliate or advertising deals.

#defi
#makerdao
#bitcoin

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