In this article:
Learn about Dai (DAI), including how to buy and swap it in Best Wallet.
Dai explained
Dai is a type of cryptocurrency known as a decentralized stablecoin, meaning its value is tethered to the value of the US dollar but without the reliance on centralized reserves and backing from actual US dollars. For this reason, Dai differs from other stablecoins like Tether (USDT) or USD Coin (USDC) as it can be considered more decentralized.
It operates on three supported networks in Best Wallet - Ethereum, Polygon, and BNB Smart Chain - and maintains its price stability via smart contracts, avoiding the control of any centralized entity.
How does Dai work?
Powered by the MakerDAO protocol, Dai achieves its stability through an innovative system of collateralization and algorithmic governance.
Users lock up collateral, typically other cryptocurrencies, to generate DAI tokens through smart contracts. These collateralized assets serve as a buffer, ensuring the stablecoin’s value remains pegged to the US dollar.
Why hold Dai?
As always, Do Your Own Research (DYOR) before you buy or hold a token. However, there are many reasons why crypto users may own and trade Dai (DAI):
Risk Mitigation: Holding Dai is ideal for those cautious of crypto's price swings, providing a stable medium of exchange.
DeFi Integration: Dai has been an important cornerstone in the decentralized finance (DeFi) world, driving adoption and demand across decentralized applications.
Portfolio Diversification: Owning Dai can counterbalance a diverse crypto portfolio, reducing overall risk and offering price stability and opportunities for quick swaps.
Inflation Hedge: Offers a safeguard against fiat currency devaluation, maintaining purchasing power amid economic shifts. Even if your local currency devalues, owning crypto-collateralized Dai can help maintain your funds.
Can I buy Dai in Best Wallet?
You can purchase DAI directly in Best Wallet, ensuring convenience and accessibility.
With Best Wallet, you get the lowest fees and best exchange rates for your DAI purchase, with a range of buying methods, which include Apple and Google Pay, debit or credit cards, bank transfers, and more.
Can I swap Dai in Best Wallet?
Swapping your Dai for another cryptocurrency is a straightforward process in Best Wallet. You can swap your Dai for thousands of other cryptocurrencies cross-chain, giving you full control and freedom.
Read our guides on how to swap crypto on the same chain or cross-chain.
Need further support?
Dai (DAI) provides a solution to the volatility problem in the cryptocurrency market, offering a stablecoin that is decentralized, transparent, and accessible worldwide.
Best Wallet makes it even more accessible, offering users a dependable and stable value in the dynamic cryptocurrency market. If you need any help buying or holding Dai, please contact the Best Wallet support team via [email protected] or open a ticket on our Support site.
Important Reminder: No one from Best Wallet will ever request your private key. Keep this information strictly private and never share it with anyone.