Now we know from the design of multi collateral Dai and other similar projects that it is possible to have a stable token. In particular the Steem Dollar was supposed to at minimum hold the peg to the USD. The Steem Dollar failed entirely, both to hold the peg to the USD and failed to provide any interest for those holding the Steem Dollar which further reduced it's popularity.
My argument in favor of upgrading the Steem Dollar is based on the facts below:
- SMT launch is now imminent. This gives an opportunity to focus development resources on the Steem Dollar and on producing a stable token for Steem..
- SMTs can be applied to potentially back the Steem Dollar or any future stable tokens which launch on Steem.
- The launch of a stable token on Steem can be achieved using the new Steem Proposal System and I highly recommend someone produce a proposal for this purpose.
- It is my understanding that the main product Steem offered was not Steem Power but the Steem Dollar and this is shown in the charts of 2017 where the Steem Dollar spiked to over $10 showing that at the time there was a lot of demand for a stable token. Steem in my opinion squandered this opportunity and Tether took the volume instead.
My conclusion and recommendation
Someone in the Steem community who is reading this will you please create a proposal to create a multicollateral Dai equivalent on Steem? If it is possible to port multi collateral Dai to Steem by working with the maker team then let's do that and if not then I would be willing to vote for any proposal which will promise a stable token which also provides at least 4% annual interest.