Bitcoin clearly enjoys the first mover advantage, seen as the benchmark for all other cryptocurrencies. But, how long will it's leadership position last is a question that has been asked before and seems more pertinent now. Some sections believe that it may maintain its place as the major store of value while other more interesting projects will gain reckoning for other interesting use cases.
Many others believe, however, that bitcoin will be relegated by promising cryptocurrencies in due time. One of the cryptocurrencies showing some promise is Maker (MKR). The MKR digital token has had an impressive growth in a couple of months.
A stablecoin like Dai that doesn’t have huge price fluctuations is necessary for financial markets since it allows for long-term planning. In simple terms, the MKR token is used to keep the Dai stable against the dollar making users confident of the value. It also serves as a governance token, to give users control over the system and ensure a level of transparency lacking in some systems. Users can vote to contribute to the development of the system.
However, in recent weeks, MKR seems to have found some footing, hovering between $750 and $1100; currently, it is trading just below 800. With a high-price growth and wide acceptance, MKR is gaining more public attention and no doubt will attract more market activity.
It is with keen interest that observers watch the MKR token, which could well become the defines the maintenance of stable cryptocurrencies in open blockchain.
