Use Bitcoin (WBTC) To Open a Vault on MakerDAO

MKR Holder DAI-gest: Week 19, 2020

Governance Recap May 7th, 2020

Wrapped Bitcoin

MKR Holder DAI-gest is a weekly Maker governance recap that is written by the community for the community. The best source of Maker Community information is through active participation and engagement. This supplemental publication strives to present all relevant facts and remain free of editorial opinion (Big 3 takeaway excepted). The statements made herein are not the opinions or statements of the Maker Foundation.

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Big 3 Take-Aways for the Week:

  • WBTC – Wrapped Bitcoin is now an official collateral type that users can open a vault with to mint new Dai.
  • The first set of MIPS have passed executive vote and the new governance cycle is now officially in effect along with the procedures outlined for on boarding collateral.
  • SCD Shutdown – Single collateral Dai (Sai) will be shutting down on May 12th, 2020 16:00 UTC

Dispositioned Governance Agenda

New

Moving

  • USDC Risk parameter adjustment and on-boarding additional stable coins such as PAX and TUSD.
  • Compensating Zero Bid Vault Owners. The poll was affirmative to compensate vault holders. Currently waiting on data analytics from Maker Man before restarting in another thread.
  • State of the Peg – Getting DAI back on soft-peg to a Dollar after it has been trading high following black Thursday. – Almost completed.
  • SCD shutdown going to Executive Vote on April 24, 2020, three-week delay to follow for a final shutdown date of May 12, 2020.
  • Public relations consortium – Communication team to create consistent and representative communications on behalf of the DAO and to report meaningful ecosystem sentiment back to the governance community. The team has been having weekly meetings, a first report is due by the end of the month.

Stalled

  • System Reserves – Deciding a prudent reserve amount of DAI for emergency events. A forum poll is now open.
  • On-boarding LINK as a new collateral type.
  • DeFi Emergency shutdown consortium
  • Dark fix – “
  • Flip / Flop auction usability
  • Maker token authority
  • Precedent for on-chain polling. Signaling started to determine the governance community’s feelings about having foundation member proposals require on-chain polling. The forum thread seems to have died.

Completed

  • Self-sustaining DAO: MIPS 0 – 12 – Ratification timeline and two additional sub-proposals have been shared in the forum. – Passed executive vote.
  • Zero bid auction post mortem data evaluation – Maker Man currently completing the data analytics from black Thursday. This part is moving behind the scenes. A report is forthcoming in the next several weeks. – Completed
  • Wrapped BTC has been proposed for collateral on-boarding. – Added in executive vote.
  • GSM delay – raise the delay from 4 hours to 12 hours for enacting Executive Votes, as a safety precaution.- Ratified

DAI Digits

Governance Polls and Executive Votes

Open Executive Vote: Raise USDC Stability Fee

  • Raise the USDC Stability Fee from 0% to 1%

Passed Executive Vote: Lower USDC SF, Add WBTC, Ratify the Initial MIPs and Subproposals

Passed on May 2, 2020

  • Add WBTC as a Collateral Type
  • Lower the USDC Stability Fee from 6% to 0%
  • Officially ratify the initial 13 MIPs and 2 Subproposals

All recent polls are closed and represented in the most recent Executive Vote. Further information can be found here.

Governance Hot Topics

The New Governance Cycle

Just a reminder, now that the first set of MIPS has passed, the governance cadence will follow the fork on the right:

New governance cadence diagram

Use Bitcoin to Take out a Loan

Right now you can use Eth and BTC to take out loans on the Oasis.app platform at extremely low rates. We’re talking 0-1%. Certainly industry best for DeFi right now. To learn how to turn your BTC into wrapped BTC that can be used on the Ethereum blockchain, you can go to https://www.wbtc.network/.

Black Thursday Vault Owners and the Report on Black Thursday Events

There is a thread going here in the forums for vault holders that were liquidated with zero bids. Compensation for some of these vaults is in the works. The report analyzing black Thursday events can be found here. Here is a snipped of the conclusions and recommendations and a big thanks to MakerMan for the undertaking of preparing this report.

Black Thursday Report

Sai Shutdown

The sequence of Sai shutting down is discussed here on the forums and looks something like this:

Sai Shutdown Diagram

On May 12, 2020 at 16:00UTC Sai will be shutting down completely. Following a 6 hour cool down period, you can redeem any Sai you have left for Eth at migrate.makerdao.com .

The Community Structure of MakerDAO for the Uninformed

In the true spirit of decentralization, there is a lot of work that goes on in the MakerDAO system that is done by various groups. Anyone can get involved. There are foundation members that are pay-rolled by the MakerDAO Foundation, the founding entity of MakerDAO which is in the process of preparing to dissolve in a few years once a trained and competent “governance community” has been created.

Governance community refers to the Maker token holders that can vote on and propose various policies for the system.

Community contributors are folks in the community that have a skill set and provide services to the Dao for compensation. Note: A governance community member can also be a community contributor. There really is not a set hierarchy other than folks who have been contributors for longer that may shepherd new individuals wishing to contribute.

Want to get involved? Pop in at chat.makerdao.com find a room and say hello.

Forum Activity and Signaling

MakerDAO Community and Governance/Risk Forums

Weekly Governance and Risk Meeting

  • No video posted for this week’s call

Here is a guide from MakerDAO about becoming involved in Governance. The meeting is held every Thursday, 17:00 UTC. During the postmortem and corrective action phase of the recent crypto market prices and resulting fiasco there has been a daily call. This is expected to drop to two calls over the next week. Please check the forums for information related to ad-hoc governance and risk calls that may be happening.

Governance and Risk Meeting Community Guide

  • Understand the issues that are discussed and governance themes that get explored to build a healthy, secure, Maker Platform.
  • Get info on how to connect by phone or webcam.
  • Explore meeting archives.

Events

  • May 11, 2020 Consensus: Distributed (virtual)
  • May 14, 2020 Blockconf (virtual)
  • May 15, 2020 PolyFinTech 100 API Hackathon 2020 (virtual)
  • May 18, 2020 Crypto Asia Summit (Virtual)
  • Sep 22, 2020 Money 20/20 Europe 2020 Amsterdam, NL
  • Oct 21, 2020 ANON 2020 Vienna, AT
  • Dec 9, 2020 Paris Blockchain Week Summit Paris, FR
  • MakerDAO Community Events Calendar
  • Weekly Community Development Meeting – Tuesdays 09:00 PST
  • Weekly Governance and Risk Meeting – Thursdays 09:00 PST

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