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What is Maker (MKR)?

Maker (MKR) is a cryptocurrency that is part of the MakerDAO (Decentralized Autonomous Organization) ecosystem. MakerDAO is a decentralized platform built on the Ethereum blockchain that enables the creation of stablecoins, for example stablecoin DAI.

MKR token: MKR is the governance token of the MakerDAO system. MKR holders have the power to make decisions about the protocol, such as changes in collateral types, stability fees and other parameters. MKR holders are responsible for maintaining the stability of DAI stablecoin.

DAI Stablecoin: DAI is a decentralized stablecoin created and managed on the MakerDAO platform. Unlike many other stablecoins that are backed by traditional assets such as the U.S. dollar, DAI is backed by various cryptocurrencies. Users can generate DAI by locking collateral assets such as Ethereum (ETH) into a smart contract called a Collateralized Debt Position (CDP). DAI is designed to maintain a stable value of about $1 USD.

Collateralized Debt Position (CDP): CDPs are smart contracts that allow users to lock up their cryptocurrencies (usually Ethereum) as collateral to generate DAI. Users must maintain a minimum collateral ratio to avoid liquidation.

Stability fees are fees paid by users who generate DAI through CDPs. These fees are usually paid in MKR tokens and are used to keep the value of the DAI token stable. If the DAI price is below $1, the stability fee is increased to encourage users to redeem their DAI and reduce supply. In reverse, if the DAI price is above $1, the stability fee is reduced to encourage more DAI generation.

Who is the founder of Maker?

The Maker (MKR) cryptocurrency and the MakerDAO project were founded by a person named Rune Christensen. Rune Christensen is a Danish entrepreneur and developer in the blockchain and cryptocurrency space. He is considered the founder and driving force behind MakerDAO.

Rune Christensen founded MakerDAO to create a decentralized platform for generating DAI, a decentralized stablecoin. The project has contributed to the development and popularization of decentralized financial (DeFi) applications on the Ethereum blockchain.

It is important to note that blockchain and cryptocurrency projects are often developed by teams of individuals and that Rune Christensen, as founder of MakerDAO, played a leading role in the creation and early development of the project. The exact contributions of individual team members may vary as projects develop and grow.

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