The Maker Foundation Interim Risk Team will place an Executive Vote proposal into the to enact a new Dai Stability Fee of 7.5%.
The Executive Vote () will begin on Friday, March 22nd at 5 pm UTC and will continue until the number of votes surpasses the previous Executive Vote total. This will be a vote.
Review
The increase to the Stability Fee was discussed in the on Thursday, March 21, and ratified by the community in a formal . Please review the , , , and the online to inform your position prior to voting.
Key factors under consideration for increasing the Stability Fee are:
- Exchange price persists below $1
- High inventory levels among market makers and prop desks
- No attributable impact from the previous Stability Fee increases
Analysis
An examination of the available data strongly suggests a Stability Fee increase is warranted. The exchange price of Dai across several major exchanges has been consistently hovering in the $0.96 to $0.99 range for two months. Decentralized exchanges with sufficient volume/liquidity also confirm the same discrepancy.
Below is an average price chart of the Dai trade history.
Informal discussions with several large Dai market makers have suggested that inventory levels have run high, and balance sheet capacity has diminished. Informal polling through various community channels has also shown strong support for an increase.
Resources
Additional information about the Governance process can be found in the
Demos, help and instructional material for the Governance Dashboard can be found at .
To participate in future Governance calls, please every Thursday at 17:00 UTC.
To add current and upcoming votes to your calendar please see the .
Published at Tue, 26 Mar 2019 03:59:58 +0000
