What is MKR coin? Introduction to the issue price, total amount and white paper of MKR coin

MKR token holders have decision-making power in the MakerDAO platform through their governance rights.

Oct 02, 2024 at 02:24 am

What is MKR Coin?

MKR is the native utility token of the MakerDAO platform, a decentralized lending and borrowing protocol built on the Ethereum blockchain.

Key Features of MKR Coin:

1. Governance: MKR token holders have voting rights in the MakerDAO governance process, allowing them to participate in decision-making regarding platform policies, risk management, and new product development.
2. Collateral Stability Fee: MKR holders can use their tokens to vote on the Collateral Stability Fee (CSF), which is a fee charged to borrowers to maintain the stability of the MakerDAO system.
3. Stability Mechanism: MKR tokens are used to purchase and redeem Dai, the stablecoin issued by MakerDAO. This mechanism helps to stabilize Dai's value by creating a demand for MKR when Dai's price deviates from its peg.

Issue Price, Total Amount, and White Paper

1. Issue Price: The initial issue price of MKR was $0.0029 on May 27, 2018, through a private token sale.
2. Total Amount: MKR has a total supply of 1,005,577 tokens.
3. White Paper: The MakerDAO white paper, titled "The Maker Protocol: A Decentralized Credit System for the Blockchain Economy," was released in March 2018.

Conclusion

MKR is an essential component of the MakerDAO ecosystem, empowering token holders with governance rights and playing a crucial role in maintaining the stability of the Dai stablecoin. Its issue price, total supply, and white paper provide insights into the origin and technical foundation of the project.