Coinbase Earn Unveils Support for Ethereum-Based DAI Stablecoin
On June 10, 2019, Coinbase announced that its users can now earn the Ethereum-based DAI stablecoin by watching video lessons and answering questions about the token’s features.
Coinbase Earn Gets its First Stablecoin
Coinbase’s “learn and earn” platform – Coinbase Earn – now allows users to earn DAI cryptocurrency for watching educational content regarding the stablecoin.
Notably, DAI is the first stablecoin to be made available through Coinbase Earn. Other than DAI, Coinbase Earn allows users to earn digital currencies like EOS (EOS), Stellar Lumens (XLM), Zcash (ZEC), Basic Attention Token (BAT), and 0x (ZRX). The platform has plans to introduce support for many more cryptocurrencies soon.
As previously reported by BTCManager, Coinbase Earn extended its services to more than 100 countries across the globe, giving the crypto curious a chance to earn for using new blockchain-powered protocols and apps.
Maker, a decentralized autonomous organization launched DAI stablecoin in December 2017. The USD-pegged stablecoin runs on the Ethereum network and differs from other stablecoins like Tether’s USDT in that it’s collateralized by USD stored on the Maker (MKR) platform. This arrangement of collateralization ensures transparency with users, regulators, and within the Maker community.
According to DAI’s whitepaper, the stablecoin is designed to maintain a 1:1 parity with the USD. The whitepaper explains that MKR and DAI tokens provide a paired set of cryptoassets where the former’s utility is to look after the governance of the community while the latter functions as a decentralized collateral-backed stablecoin.
The San Francisco-headquartered cryptocurrency exchange unveiled support for DAI on May 23, 2019, allowing its desktop and mobile users to buy, sell, and store the decentralized stablecoin.
The Stability Fee Problem
The stablecoin has had its own set of internal problems in the past couple of months.
As reported by BTCManager on April 29, 2019, the digital token’s creator, Maker, had called for yet another community vote to increase the stability fee of DAI by an additional two percent. The need for revision of stability fee rose from the community’s concerns over the inconsistent price behavior shown by DAI, which hovered around 98 to 99 cents throughout most of 2018.
The stablecoin’s community became more divisive on May 20, 2019, when Maker’s Interim Risk Team decided to initiate a proposal to slash the token’s stability fee from 19.5 percent to 17.5 percent, marking the eighth fee revision in three months.