CDPs & DAI Minting
A Collateralized Debt Position (CDP), now called a "Vault," lets you lock collateral and mint DAI against it. You're essentially taking a loan against your crypto — but there's no counterparty, no credit check, and no expiration. Just math.
Vault Simulator
Open a Maker Vault: deposit ETH as collateral and mint DAI. Watch your collateralization ratio and liquidation price in real time.
Collateral Value
$30,000
Collateralization Ratio
200%
Liquidation Price
$2,250
Annual Fee
$750
Vault Health
Liquidation Risky Safe
How DAI Stays at $1
DAI > $1.00
Users mint more DAI — it's profitable to open vaults and sell DAI above $1. The PSM (Peg Stability Module) lets anyone swap USDC → DAI at exactly $1, increasing supply.
Supply ↑ → Price returns to $1
DAI < $1.00
Users buy DAI to repay vaults — cheap DAI means cheaper debt repayment. The PSM lets anyone swap DAI → USDC at $1, removing supply.
Supply ↓ → Price returns to $1
DAI Savings Rate (DSR)
Deposit DAI into the DSR contract to earn yield. The rate is set by MakerDAO governance — it's a monetary policy tool to control DAI supply.
Monthly Earnings
$66.67
Annual Earnings
$800
After 1 Year
10,800 DAI