What is Maker? In a nutshell, this is a digital currency that aims to solve multiple problems plaguing the traditional financial sector. The blockchain-based system combines a unique set of proprietary technologies to perform the functions of a bank. It functions as an integral part of the DeFi community, which stands for decentralized financial institutions. This community is increasingly looking for viable alternatives to centralized financial services.
Blockchain-based cryptocurrencies such as Ethereum are immutable and distributed. The output of a program is verified by everyone on the network. As with any new project, the Maker ecosystem has been through various stages. It was founded in 2014 by Rune Christensen, who studied international business and biochemistry and had previously worked for a recruitment company in China before moving into blockchain. The MakerDAO consists of a database containing all transactions between the different parties.
Maker is a decentralized ERC-20 token that represents your investment in the Maker Project. It was the first tradeable token on the Ethereum network, and is one of the largest ETH-based platforms. With over 2.1 million ETH locked in CDP contracts, it is becoming a popular choice for investors and users alike. It is also the first DAO (Decentralized Autonomous Organization), which allows the community to govern a company through smart contracts.