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Rune Christensen, MakerDAO’s founder said that it is a huge milestone for the DAI ecosystem to surpass the $1 billion level.
As the stablecoin industry grows immensely due to high market demand, Ethereum-based stablecoin DAI has surpassed $1 billion market capitalization. At the time of writing it had a market cap of $1,001,733,442 with its past 24-hour trading volume at $77,894,570.
Notably, DAI market circulation experienced a sharp uptick in the past few days. There are 994,491,704 DAI tokens in market circulation out of the total 994,491,730 DAI tokens.
Speaking to media outlet Coindesk, Rune Christensen, MakerDAO’s founder said that it is a huge milestone for the DAI ecosystem to surpass the $1 billion level. “One billion Dai in circulation is a huge milestone and a powerful validation that people around the world want more access, more transparency and more opportunity to maximize their economic potential,” he explained.
Apparently, DAI stablecoin has gained favor in the crypto industry thanks to its transparency amid increased scams in the crypto industry.
As the Bitcoin and altcoins’ volatility spike to higher levels exposing investors’ capital to greater risks, stablecoins are viewed as safe havens from increased volatility.
Notably, Christensen noted that DAI supply shot by approximately $30 million at some point yesterday. Although built on the Ethereum blockchain network that has low scalability issues, Robert Leshner, founder of DeFi money market Compound, is confident in its capabilities to deliver in the future.
“Dai is a pioneer of protocol-created financial instruments – and reaching the milestone of one billion Dai proves that it works, is here to stay, and is the honey badger of Ethereum,” Leshner noted.
DAI and Its Growing Market Cap
The stablecoin industry received a lot of fuel since the March/April market crash. Notably, DAI market cap has grown from approximately $84 million since April to over $1 billion as of today.
Overall, the stablecoin industry has a market capitalization of $23,332,837,683 with the average trading volume in the past 24 hours at $32,858,784,828.
According to the metrics provided by CoinGecko, DAI is currently listed on 128 crypto exchanges around the world.
One of the striking features of DAI stablecoin is the fact it is not minted by a central private organization as with Tether. Instead the issuance and development of its software is governed by MakerDAO and Maker Protocol. Notably, MakerDAO is dubbed as a decentralized and autonomous organization. Hereby free from private manipulation and other related risks.
It is further decentralized by the fact that holders of Maker token (MKR) are responsible for system governance. Maker currently has $2.3 billion in assets locked according to DeFi Pulse, making it the second biggest DeFi application on Ethereum, after Uniswap.