The First Autonomous Decentralized Stablecoin Organization
Investment fund a16z crypto has paid $15 million USD for six percent of the MKR token supply, showing a heavy degree of support for MakerDAO’s Dai stablecoin. a16z crypto now has a stake in the first decentralized stablecoin – which is also the sole system designed with formally verified smart contracts using blockchain technology.
As a result of the purchase, a16z crypto will take part in MakerDAO’s administration, including its Dai Credit System, making it the world’s first decentralized stablecoin organization that operates autonomously.
a16z crypto was created as a dedicated crypto fund by founder, Andreessen Horowitz, to take advantage of the novelty of the blockchain and apply it to new areas of technology, investment, and business. a16z crypto looks to fund new uses for blockchain technology that its team believes will be innovative and profitable.
This is its first purchase in MakerDAO, which intends to create greater stability and decentralization in the crypto marketplace. The driving force behind a16z crypto’s purchase was General Partner, Katie Haun, a retired federal prosecutor who was instrumental in the investigations into the Mt. Gox hackings. She played a role in the federal task force dedicated to investigating the Silk Road, and led the first U.S. government task force dealing with cryptocurrencies.
“As a first mover and innovator in stablecoins, MakerDAO represents a very compelling opportunity in the crypto space,” Haun said in a press release. “MakerDAO’s technology, ecosystem, and talent have put theory into action to deliver a decentralized stablecoin that we believe will help drive the future of the crypto economy.”
a16z Crypto to Continue to Expand Influence into MakerDAO
As a result of the investment, MakerDAO will also receive operating funds through its next growth stage and three years of support for the MakerDAO foundation. Significantly, MakerDAO will receive operational support from a16z crypto’s team, whose top objectives are regulatory support and Dai stablecoin adoption. This comes as Horowitz and a16z crypto continue to expand their network into sales, business development, strategic partnerships, human resources, marketing initiatives, and other areas – taking advantage of the team’s wide range of experience.
MakerDAO presents a16z crypto’s investment as a sign of continued growth and increasing momentum behind its efforts. This partnership is being viewed as an opportunity for a16z crypto to take part in the decision-making responsibilities with other MKR holders. MakerDAO has also recently begun a new initiative with its Multi-Collateral Dai on the Kovan testnet and held its initial public governance vote, hoping to continue to grow the scope of its platform and encourage further adoption of Dai stablecoin across the crypto marketplace.
“a16z crypto shares our vision for a world where the blockchain has leveled the economic playing field for everybody,” MakerDAO cofounder and CEO Rune Christensen said in a press release. “With investment and operational support from a16z crypto, MakerDAO will be able to accelerate evolution, innovation, and adoption of the Dai Credit System.”