Currently more than 200 million DAI are stuck in the DSR. Why not add a negative rate to these DAI?

With negative interest, these DAI could return to the market and help return to the peg

If I can speak for the majority here: the DAI will just be withdrawn from the DSR hence no effect. There are also reasons why not to implement the negative rate to all DAI… I think the reasons for the negative rate are stronger than against it but I’m not the majority here.

2 Likes

Just to give more info, most of Dai in DSR is actually Dai on Compound Finance. So even if there’s somehow negative rate after so much effort and resources, Compound will probably simply not integrate DSR and overall it won’t really change much.

11 Likes

This topic was automatically closed 91 days after the last reply. New replies are no longer allowed.