The Terra-based stablecoin, UST, was defunct. DAI, a fiat-pegged token, has since become the largest decentralized stablecoin. Makerdao is now the top decentralized finance protocol (defi) in terms of total value locked.
Makerdao’s DAI Regains the Top Decentralized Stablecoin position
It’s clear that the UST and Terra LUNA fallout have had a ripple effect on defi and the entire crypto ecosystem. The Terra implosion also allowed stablecoin to regain the position of the largest decentralized stablecoin by market capitalization.
DAI is fourth most stablecoin, but the USDT and USDC top three are centralized stablecoins. DAI was issued by Makerdao ( MKR). DAI leverages an overcollateralized loan process and repayment process, which is not like an algorithmic stablecoin such as UST.
DAI’s current market value is $6.24 Billion, but stablecoin’s market capital has fallen 27.3% in the past 30 days. While DAI was stable, Terra’s implosion caused shockwaves in the crypto community. This in turn reduced the TVL for defi by half. DAI, worth more than $2.6 billion, was taken out of circulation on May 1, 2022.
The U.S. Dollar was the largest DAI trading pair on May 28th, accounting for 30.96% of all DAI trades. Other major DAI trading pairs are USDC (21.18%), USDT USD (17.71%) (17.46%) WETH (8.7%), and EUR (2.31%)
DAI saw $159,99 Million in global trade volume over the past 24 hours. Kraken is currently the most active DAI exchange. DAI trade volume also is high on Crypto.com, Okex and Bittrex.
DAI ranks 16 today, whereas the stablecoins USDT and USDC are among the top ten for market capital. Makerdao also has a native token, MKR, which can be traded for $1,178 each unit. MKR currently ranks 58th in cryptocurrency market capitalization.
Defillama.com statistics indicate that Makerdao has the most dominant protocol in defi as far as TVL goes. Makerdao holds $9.38 trillion total value, which gives it a dominance rating around 8.77% of the $106 billion TVL today. Makerdao’s TVL lost 28.59% in the last month despite being at the top. Makerdao’s defi protocol has lost 2.53% of its 28.59% over the past seven days.
