How would Dai fare if there was a global recession? I suspect ETH to go down and bitcoin to steadily rise. So, wouldn't that mean Dai would be worth more than a dollar since it uses Etherum as a value instrument or would something occur that would force Dai to stay a dollar. At which makes Dai worthless in sense of the market? Basically, would they raise the liquidation fee rate to an extreme amount or just collapse?For example, you deposited 1 ETH and generated 90 dai where you bought Bitcoin with it. ETH collapses down to trading $120 and you buyback the 1 ETH you bought with Dai later on by selling back the bitcoin. Doesn't that mean you gained $65 minus the liquidation fee since you keep that ETH?But if that isn't the case, is there even a point in getting Dai and just buying Bitcoin outright? Basically, is this a way to figuratively short ETH? Because in the end 1 for 1 US dollar is of little importance to me.
Submitted August 17, 2019 at 05:02PM
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