but SBD is debt.

With DAI you look up 300% of value of ETH. If the price of DAI goes under 1$ you can buy it cheaper and get your ETH out.

With the Lock up it is IMO more scaleable. Because if need more, its possible to lock up more.

If ETH should fall dramaticly ( like 90%) it can be dangerous and its the same to SBD. You are right.

But on the other side, ETH must fail really hard to crash 90%. If DAI is 10x bigger and ETh Crash, there are a lot of ETH is lockt away.

It needs to crash in a really short time over 60% to get really dangerous. If the DAI market would be that big, i dont think this happens ( maybe)?

If people trust in DAI, there trust in ETH.

Btw, im not a ETH fan, but i like the idea to lock up and generate a Stable coin. Because is scaleable if needed.

And to be logic, if ETH falls under the lock up, people would clear there DAI order. Otherwise they would lose money.

From the economic perspective it should work.

Price falls -----> DAI gets cleard ----> less DAI.

I dont say DAI is perfect, but maybe in a long term vision we can upgrade SBD, to get a better version of it :)