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Maker (MKR) was created by MakerDAO, an Ethereum-backed network that is part of a larger project called the Maker Protocol. The token is one-of-two tokens utilized by the Maker Protocol, and acts as the governance token that powers smart contracts on the network. Staking MKR allows users to vote on proposals and changes to the project.
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*Â Although the term "stablecoin" is commonly used, there is no guarantee that the asset will maintain a stable value in relation to the value of the reference asset when traded on secondary markets or that the reserve of assets, if there is one, will be adequate to satisfy all redemptions.
Because stablecoins* are designed to maintain a peg to fiat currencies, they can be useful tools. Coins such as USDC, USDT and QCAD generally experience lower volatility than other crypto assets.
*Â Although the term "stablecoin" is commonly used, there is no guarantee that the asset will maintain a stable value in relation to the value of the reference asset when traded on secondary markets or that the reserve of assets, if there is one, will be adequate to satisfy all redemptions.
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