One Account Holds 27% of Ether in MakerDAO’s Sai Stablecoin

On January 26 fintech data company Digital Assets Data revealed that, 27% of all the Ether (ETH) locked in the collaterized debt positions (CDPs) of the old MakerDAO Sai system is localized in a single Ethereum address.

In November 2019, the Dai stablecoin hit its 100 million token debt and launched multi-collateral Dai (MCD) which can be pegged to multiple assets.

The old, single-collateral Dai, generated only with Ether, was called ”Sai”, and the new MCD now bears the name of ”Dai”. CDPs for various assets were named ”vaults”, meaning that Ether is stored in an Ether vault, while Basic Attention Tokens (BAT) are stored in a BAT vault.

MakerDAO’s ecosystem growth

Digital Assets Data stated that around 155,000 CDPs were created on the old version of the Maker protocol, with 77% of them holding less than 0.05 ETH.

Brandon Anderson, a data science lead at Digital Assets Data, commented:

“There is one address that maintains 27% of the value locked in CDP’s. Likewise, the new Vaults system has a similar distribution, with one address holding 15% of the value locked. As Maker continues to grow, we will see how these distributions play out and if there is more adoption within the lower bins.”

He proceeded to say that these addresses may not represent a single entity:

“It is possible that one or more of those addresses could be smart contracts that contain ETH as a part of MakerDAO, and do not represent a single entity. Without a significant amount of additional research, we cannot commit to singling out/identifying these addresses.”

In conclusion, he noted, that though the ecosystem may have large players who hold disproportionately large amounts of Ether in it, the total amount of locked assets has grown, and “these protocols are indeed open to anyone that wants to participate.”

The new system has seen over 3,500 freshly created vaults, and most of them hold more than 1 ETH, as Digital Assets Data states.

Ether locked in DeFi apps hits an all-time high

DeFi monitoring resource DeFi Pulse shows that the amount locked in decentralized finance (DeFi) applications hit an all-time high of 2.7 million ETH, and this number has been growing since the end of June.

As of writing, DeFi Pulse indicates that the total value of funds locked in DeFi apps hit $836.9 million (an all-time high of 3.2 million ETH), of which over 57% ($477.9 million, an all-time high 2.5 million ETH) is in the MakerDAO system.