The MakerDAO token holders rigorously discussed and voted for nearly two weeks, and finally, they concluded with a decision. The token holders of MakerDAO have considered reducing DAI stablecoin fees. The news was revealed by a crypto source.
DAI is a token, powered by Ethereum that currently holds a soft peg towards the US dollar. Over the past few months, we have seen a considerable amount of hike in fees for users to loan DAI from the MakerDAO system. This is due to the fact that in February 2019; the dollar value of DAI was regularly varying, reaching below the expected value of $1.00
As of now, there is one important pointed to be remembered that is around $400 million of Ethereum are supporting a supply of almost 80 million of DAI. Because of this unique feature, MakerDAO has become the leading financial decentralized application in the crypto world, DeFi Pulse stated it.
During this month, the value of the DAI dollar was stable and is currently trading over leading cryptocurrency exchanges at $1.00 or near to it.
The discussion was going for a long time with the token holders of MakerDAO; they discussed roughly for 11 days. The discussion was mostly on whether to increase or decrease the loan fee, commonly known as the Stability fee. Finally, in December 2018, with various efforts, the decision was taken to reduce the lending fee.
At the initial phase, two token holders were controlling the first governance vote, 54,000 MKR jointly backed and supported 2 percent cut in Stability fee. The decision was once again confirmed and saw a significant increase in the vote. Nearly 9 token holders cast their vote in favor of a 2 percent decrease in loan fee and gave a further boost to it.
In two cases, during the second round of voting the vote was not approved. The secondary round of the voting is basically termed as an executive vote, in this round, it’s essential for token holders to get a minimum level of votes greater than the previous round of executing vote and the amount of stake should also be even greater than last round.
In the previous voting round, the executive vote started a 2 percent increase in the Stability fee, was validated by the system by gaining 35,221.95 MKR stake in favor. The recent executive vote began with a two percent reduction in the Stability fee, received 89,926.75 MKR stake in favor.
While in April 2019, reported circulated that the loan fee for DAI which is the stablecoin of Maker was to be increased by nearly 5 percent in the 5th vote during this year. The reports also mentioned that 50,579.23 MKR has backed in support of increasing the Stability fee by 4 percent, making it to reach 11.5 percent each year. The main objective to increase the Stability fee is to secure DAI against the US dollar.