Today, we’re excited to announce a partnership with MakerDAO, that will see Dai implemented into the Switchain platform and in the future we’ll be developing an instant wallet for Dai. In doing so, users will have an option to hedge against volatility without having to convert to fiat.

What is Dai?

Dai is a resilient stablecoin, serving as a completely decentralized option for stability and price predictability. Created by MakerDAO, Dai represents their vision of addressing price stability and in doing so, expanding the potential of the blockchain.

In essence, 1 DAI = $1USD. Switchain users looking to hedge can use Dai knowing it’s going to maintain its value, and no longer rely on centralized options.

Learn more about how Dai works here.

Why we decided to implement DAI

Switchain is a crypto-only company and we try to operate only with crypto assets. Until now, it was difficult for our users to hedge against the volatility of the market, given the correlation of most crypto assets.

With DAI we can offer a token that’s stable and that lets our users hedge without having to go back to government issued currencies.

We also decided to implement it as the default dollar option in our open source wallet Coinfy, with the idea to have a simple web based wallet to do day to day transactions.

Future developments

We’re working on creating an “instant wallet” for DAI. One wallet where any merchant can receive BTC and get it automatically changed to DAI and sent to their DAI wallet. This helps merchants hedge against the BTC price by automatically moving the funds into a stable currency.

We’re also working on integrating the Ledger hardware wallets so it would be easier for the hardware wallets users to interact with DAI as well as with other assets.

Learn more about MakerDAO:

We believe in a future that leverages the power of decentralization for trustless transactions.

With Maker, we are carrying out our vision of creating a decentralized stablecoin that will unlock the unique benefits of a complete financial ecosystem on the blockchain. Join us!