Maker MKR is known to be a utility token for Maker that Ether powers. Blockchain technology powers this particular platform and helps its international payments along with the P2P transfers. This platform’s main aim is to dodge the current volatility that can be seen in the market.
What is Maker?
Rune Christensen founded MakerDAO, and these platforms make several different approaches to stabilize DAI with the MKR proprietary token. It is a perfect approach known to follow fractional reserve banking. This means that the bank needs to hold only a fraction of the total deposit liabilities.
This platform is powered by Ethereum and is based on the blockchain technology known to make use of the smart contract ecosystem. ECR20 token backs MKR, which is based on the Ethereum blockchain. Therefore, the token cannot be mined and instead be created or destroyed in response to the market price fluctuations. The MKR holders have the right to use the voting system of the Maker platform.
How to Buy and Store Maker Token?
Maker is one of the rarest decentralized platforms with a two-token system, while MKR and DAI are the two tokens that the Maker platform uses. Maker coin is not available on the popular crypto exchanges, but it is still among the highly demanded crypto coins. As these are not available on the top exchanges, you have to look for the right exchange to purchase the Maker coin.
To buy the maker coins, you first need to invest in Bitcoin because many exchanges do not accept fiat currencies. Therefore, popular cryptocurrencies are traded for the less popular coins like the Maker. Both the MKR & DAI are based on the ERC20 token; therefore, you have the option to store them in a wallet that supports the ERC20 token.
Benefits of Maker Token
- MakerDAO is quite an ambitious project because it is based on developing a decentralized future for crypto coins. There are many other features that the platform is loaded with.
- Unlike any other cryptosystems, there is a two-token policy with Maker, and this policy includes DAI & MKR, and both are based on ERC20.
- Maker uses CDP smart contracts, and MKR tokens maintain the DAI token’s stability at $1 US dollar.
- In the Maker platform, Maker holders are given voting rights. These are the individuals treated as the Dai Token buyers and are incentivized to run the platform.
Maker is among the very few platforms that have a two-coin system. This is the reason why it is different from the rest of its competitors in the crypto market. When it is about investing in Maker, it has various advantages. The top crypto coins Ether, powers it. Its team is also well known to work hard to stabilize the DAI token value. Experts predict that the Maker coins would do well in the coming years, and therefore, it can be an excellent excuse to invest in the Maker token.