- Maker (MKR-USD) MKR crypto shines as it posts a 30% gain in the last seven days
- This surge has made MKR one of the best investments in the wake of last week’s volatility
- The network is particularly noteworthy as a stablecoin protocol, given the news around TerraUSD (UST-USD) recent collapse
Digital currency investors have mostly been reeling recently. However, there is a lucky sect of crypto devotees who celebrate the last trading week rather than spoil it. Specifically, those who have invested in MKR crypto are eyeing massive gains as the network beats the rest of the market.
At the start of the year, Maker certainly had its ups and downs. That’s a far cry from its all-time high of nearly $6,400. During the first months of 2022, the token experienced a series of peaks and valleys. Then, when April rolled around, MKR started a steady and steep descent, reaching around $1,000.
The last few days have, however, been much more favorable for this name, which is surprising given the current market conditions. As a result of things like the Federal Reserve rate hike and Bitcoins (BTC-USD) fall below $30,000, most of the market remained in the red. Maker defies this trend with a hot week and some changes. Over the past seven days, the MKR crypto has seen gains of around 30%. Among the 50 largest projects by market capitalization, MKR is one of the few cryptos in the green last week.
MKR Crypto: What is causing manufacturer prices to rise?
What makes the MKR crypto rise so high? It could certainly be the links of the project with Dai (USD-DAI) stablecoin. As you may recall, stablecoins were a hot topic last week given the UST price crash. Nor were the stablecoin’s woes. Since the crash of Earth (LUNA USD) ecosystem, we have also seen stablecoins Attached (USDT-USD) and DEI (DEI-USD) de-peg their values by $1.
That said, the misfortune of one project can be the benefit of another. Right now, it looks like the UST crash is helping DAI; as the UST falls off investors’ radars, the token overtakes it. Obviously, with less competition, investors are moving more towards the Dai network.
This increased focus on stablecoins also helps the Maker Network show off its unique approach. Maker is relevant to Dai because its community drives all changes to the DAI protocol. Maker is a Decentralized Autonomous Organization (DAO), which means that MKR crypto holders make all network-related decisions themselves. Specifically, the Maker DAO exists to oversee the Dai network.
Maker users make proposals on DAI changes, which the community can vote on. If adopted, these proposals are implemented by the developers. Seeing how the Terra developers fared so poorly in their relief effort, investors might rejoice at the thought of overseeing a network themselves.
As of the date of publication, Brenden Rearick has not held (directly or indirectly) any position in the securities mentioned in this article. The opinions expressed in this article are those of the author, subject to InvestorPlace.com publishing guidelines.