What is Dai (DAI)?

Official Website: makerdao.com
Definition: Dai is a decentralized stablecoin pegged to the US dollar, created by MakerDAO.
Category: Stablecoin, Token.
What It Is: A cryptocurrency backed by collateral and maintained through smart contracts.
Function: Used for trading, lending, and as a stable store of value.
Analogy: Think of Dai as a digital savings account. It’s stable, secure, and always worth $1.
Pros: Decentralized, transparent, widely used in DeFi.
Cons: Complexity, reliance on collateral.
Controversies: Regulatory scrutiny, competition from other stablecoins.