rDAI x MetaCartel
rDAI allows users to separate the interest earned from the principal staked in DeFi investments, while giving users the opportunity to freely program who receives the revenue stream. rDAI focuses on providing users with a new interest bearing experience without requiring the underlying collateral to ever leave the user’s wallet.
“Programmable interest”
rDAI is and always will be free, open-source, and community driven. There is no business model, and no token to buy. rDAI is for the ethereum community to use, build, and create.
Read more about it:
- Twitter: @rdai_dao
- Website: redeem.money
- Github: github.com/decentral-ee/rtoken-contracts
Why this is useful?
Ultimately, this is an on-chain primitive that allows developers to program logic around the interest accrued by a user’s staked DAI. Users are used to locking up funds in dApps, so any interest generated like this is effectively ‘free money’.
Developers can now build interest based business models where the underlying collateral never needs to leave user’s control.
eg. Buying access via interest. Approve 100 DAI’s worth of interest to…
→ Get free meta transactions
→ Get in-game NFT items for free
→ Gain access for 1 months worth of gameplay to a dapp
rDAI Wallet implementation (Pillar Wallet interested in a pilot):
- Stake to open a payment channel (and access a synthetic asset exchange in case of PLR). Swap in background to rDAI on stake to peg fiat value and allow users to start earning interest.
- Premium account features by staking XX amount (free meta tx, etc.)
- Use interest generated by user deposits in rDai to buy and burn PLR tokens
Kickback
- currently event organizers pay kickback a fixed fee per user. This makes kickback less competitive than other free platforms. However, by leveraging the stakes users deposit by passing them through rDai first, the dApp will become cheaper to use, as part of the price can be offset by the generated interest
FRANK?
- Users load DAI to tip content creators. The application could immediately swap to rDAI in background and send interest flow to FRANK app to provide sustainability.
Projects that have already been built on top of rDAI
// During ETHBerlin hackathon
→ Virtue DAO link: devpost @virtue-dao
- DAO that funds proposals based on rDAI interest from users
→ LSDAI link: lsdai.market/
- Stable interest gained from DeFi staked DAI
→ Offset DAO link: devpost @ offset-dai — Orochi DAO + rDAI integration
- Offsetting smart contract insurance cost using rDAI interest
"When the creator of rDAI (redeemable DAI) asked me to integrate rDAI into Kickback (my event management dapp), I was hesitant to do so because any small change could potentially inject bugs. I can buy smart contract insurance to cover the risk such as www.nexusmutual.io but I have to pay a high premium. That’s when I came up with the idea of offsetting insurance cover cost with rdai compound interests."
During ETH Boston
Tribute_rDAI
Projects interested in building on rDAI / integrating / partnering
We are in talks with 10/15 projects
Progress of rDAI and where it is at now?
So far…
- Finished 90% of the smart contracts with a few more features to be completed.
- Validated market need and idea market fit within the Ethereum community.
Next…
- rDAI contract has not been formally audited and requires one before it can be fully launched on main-net and for other projects to build on top of it.
- Requires further work around developer marketing such as documentation.
- Requires ecosystem support and business development to establish partnerships in the community.
- Example DApp integrations ready to launch with main net release
Next milestone (Mainnet Launch)
10th September — 14th November
- Smart contract completion
- Audit is completed
- Documentation and marketing is ready
- rDAI is ready to launch on main-net
The main cost of launching this will be the cost of…
- Conducting the Audit
- Runway for our team of 2 (Fran and Miao) to continue working on the project in the coming months
After the launch on mainnet, we can gauge further validation and traction within the community for further development and investment of resources into rDAI as a community project.
Why should MetaCartel DAO fund and support rDAI?
- High value project that leverages DeFi composability to enable sustainable interest based web3 models.
- MetaCartel would support a tool that could become essential for many dApp developers.
- Focus on dApp sustainability, and making DeFi work for web3 developers
The proposal
First DAO funding proposal:
$3,000 USD to complete the rDAI smart contracts and reach code freeze for a smart contract audit.
2nd DAO Funding proposal:
$3,000 USD when the code freezes for the Audit.
3nd DAO Funding proposal:
The Audit will cost $3,750 and will be conducted by Quantstamp.
Total cost of: $9,750