MakerDAO voting to increase Stability Fees to 16%+, DSR to 15%

MakerDAO voting to increase stability fees to 16%+, DSR to 15%
by freeatnet.eth543 🥝 • 3y • makerdao.com
AI summary of the linked article

The Governance Facilitators, Sidestream, Dewiz, and Phoenix Labs have placed an executive proposal into the MakerDAO voting system that would raise the Dai Savings Rate to 15% and increase multiple Stability Fees. The proposal would raise the DSR by 10% from 5% to 15%, and the ETH-A, ETH-B and ETH-C Stability Fees by 8.84%, with WSTETH and WBTC fees rising by 9.6% and 10.07% respectively. It would also cut the GSM Delay from 48 hours to 16 hours, shorten the USDC-PSM-A ttl from 24 hours to 12 hours, and trigger a Spark proxy spell that changes the Dai Interest Rate Strategy to raise the Dai Borrow Rate to 16%. The proposal expires if not passed within 30 days.

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Wow, does this mean someone can make 15% by just holding DAI? Why is that value so high?
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Highlights from [1]:

- temporary measure to secure the peg
- contraction in DAI demand
- increased DAI generation and selling by borrowers
- Total DAI supply has dropped by 600M USD within a week
- „DAI is over-collateralized. However, due to the nature of the RWA vehicles, the redemption is currently capped in relation to crypto collateral.“
- DAI Savings Rate increase is to make holding DAI more attractive

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