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Maker, the largest DeFi project to date, just celebrated its biggest milestone yet with the successful activation of its Multi-Collateral Dai (MCD) upgrade.

Launched on November 18th, the MCD system will allow Maker users to draw out automated Dai stablecoin loans using collateral beyond just ether (ETH), a structural limitation of the Single-Collateral Dai (SCD) system that the MCD has replaced.

Maker DAI

As such, SCD Dai that have yet to migrate to MCD are now known as “Sai” and can be upgraded to MCD Dai using Maker’s migration portal. Per the redesign, users can draw out collateralized debt positions — now known as “Maker Vaults” — using ether and Basic Attention Token (BAT) to start, as these were the first two cryptocurrencies vetted into MCD through Maker community governance votes.

In the future, more cryptocurrencies may follow pending similar votes. A key thread to watch going forward will be how conservative or aggressive MKR voters prove when it comes to adding new assets in. Notably, these voters were fairly conservative out of the gate, as they only voted ETH and BAT in out of seven initial contenders, with the other inaugural candidates having been 0x (ZRX), Augur (REP), DigixDAO (DGD), Golem (GNT), and OmiseGo (OMG). As for what comes next, REP is again on the slate to be considered by MKR holders.

For the Maker team, the activation day was the culmination of years of work and thus cause for celebration. As Maker Foundation chief executive officer Rune Christensen commented once MCD was live:

“I’ve been imagining this moment for five years. It’s incredible. MCD can improve the lives of so many people, from the unbanked individuals living in regions like Nigeria to the underbanked in the United States.”

Meet Oasis and the Dai Savings Rate

Another major element of the MCD activation is the upgrade’s launch of the Dai Savings Rate (DSR). Akin to a decentralized checking account, the DSR will allow Dai holders to lock their holdings in a smart contract to earn an annual savings rate on those funds.


Cryptorocket

At launch, the DSR was two percent, so if that rate were to hypothetically remain constant then 100 Dai locked in the underlying smart contract would generate two extra Dai after one year’s time, for example.

To streamline user access to the DSR and the new Maker Vaults system, the Maker Foundation has expanded its Oasis “all-in-one decentralized finance (DeFi) hub” to include Oasis Save and Oasis Borrow, which join the platform’s already launched Oasis Trade exchange.

Looking to the horizon the platform could be further expanded around other Dai related projects, the Maker team said:

“In the future, additional steps toward creating an ultimate all-in-one DeFi hub will be taken. Oasis might one day include features developed outside of Maker but that use Dai, for example. This will allow for deeper integrations with other DeFi projects.”

On the Dai Rebrand

The Dai logo has undergone a calculated re-envisioning as part of the MCD transition, as the stablecoin’s original diamond-shaped logo (which now represents Sai) has given way to a new, more familiar “D” shaped logo that has clearly been designed to make it aesthetically nearer to the logos of the world’s top currencies.

And that’s precisely what the project’s builders are going for, as explained in a recent blog post:

“The Maker Foundation and the larger MakerDAO community are confident that Dai can sit alongside the other major currencies of the world, from inside Bloomberg Terminal platforms to beside cash registers in coffee shops. The new Dai logo is memorable, powerful in its simplicity, and, unlike the old one, easy to draw and digitally replicate. These attributes are very likely to attract new users, increase adoption, and expand brand awareness.”


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Posted by William M. Peaster

William M. Peaster is a professional writer and editor who specializes in the Bitcoin, Ethereum, and Dai beats in the cryptoeconomy. Has appeared in Blockonomi, Binance Academy, Bitsonline, and more. Enjoys tracking smart contracts, DAOs, dApps, and the Lightning Network. Learning Solidity.


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