Maker continues to see sharp price rise
The climb of cryptocurrency Maker (MKR) continues. MKR currently sits just outside the top 20 of all digital assets by market cap.
Today it was among the biggest climbers of all coins and tokens. The asset still trades on slim volumes of around $3.3m, though this has been sufficient in lifting the price in speculation.
MKR was trading at $785.31 in early UK afternoon trading, up 16.14% in 24 hours and up 53.52% over the week.
As Cryptoinvest reports, the price climb comes amid the continuous creation of DAI stablecoins, which are nearing 60 million in number.
The model of the Maker DAO is to back DAI with various crypto assets and use MKR to support the value. However, some see this model as confusing and potentially allowing for manipulation of the price.
Maker may be enjoying better prices due to the upcoming launch of the option for multiple-coin collaterals. Currently, the issuance of DAI is dependent wholly on Ethereum collaterals. In the future, however, users will be able to issue loans on the Maker ecosystem by collateralizing them with various crypto assets.
The fears are that this scheme could allow users to push assets with lesser quality and value and, in effect, “launder” them through the Maker ecosystem.