This MKR investment is a burning coin with a good design and is essentially fully diluted now because even the Foundation coins have now been given over to the DAO (MKR holders vote to decide what to do with it). I think this and YFI coin are two very nice potentials for bitcoin like store of value in the long term — although in the short term they face MUCH higher volatility than BTC will. I don’t mind accepting volatility for positive price appreciation long term, so I would like holding MKR especially at this MKR/ETH exchange rate…
USDT is centralized (and so regulatory risk) → we take our loans in USDT so if it collapses the value of debt denominated in USDT falls to nothing.
One idea I have is that should USDT collapse (yes that would probably be really bad for all asset prices in crypto in the short term), the rise of DAI and the fees generated to MKR holders would skyrocket… because it would effectively jump to the #2 stable coin.
I’ll say though that even if Tether as a company is regulated and something happens the market might start buying it to pay off debts before it falls to zero and thus keep demand for USDT going… DEXs will still trade it even if CEX decide not too… I don’t know it’s an interesting question.
