Considering the current discussions around depegging its native token from USD Gold coin (USDC) among sanctioning of Tornado Cash, MakerDAO co-founder Rune Christensen arrived at to the city explaining why free-floating DAI could be the only option for the decentralized autonomous organization (DAO).
In the blog publish, “The Road to Compliance and also the Road to Decentralization: Why Maker doesn’t have choice but to organize to free float Dai,” Christensen disclosed miscalculating the potential risks associated with risk-weighted assets (RWA). He mentioned:
“Physical attack against crypto can happen without any advance notice with no chance of recovery for legitimate, innocent users. This violates two core assumption that people accustomed to understand RWA risk, making the authoritarian threat much more serious.”
While revealing the protocol’s lack of ability to conform with regulators, Christensen recommended that “we must pick the road to decentralization, as was always the intent and the objective of Dai.”
He believes that decentralizing Maker would cut back the outcome of crackdowns around the overall protocol, adding that “The only real option is then to limit attack surface by reduction of RWA contact with an optimum fixed number of the entire collateral – this involves free floating from USD.”
You should observe that 50 plusPercent of DAI is presently collateralized by USDC, as evidenced by daistats data.
Related: MakerDAO should ‘seriously consider’ depegging DAI from USD — Founder
Joey Santoro, the founding father of the decentralized finance (DeFi) platform Fei Protocol suggested revoking participation from Tribe DAO after reimbursing Fuze victims.
Formerly, Rari Fuze hacker was offered a $ten million bounty for coming back the $80 million price of assets, but Fei Protocol received no response in the attacker.
