Maker Raises $5.3 Million from Auction to Restore Dai Deficit 

The MakerDAO’s auction of MKR tokens raised over $5.3 million to negate the Dai deficit caused by “Black Thursday.” Despite a successful auction, Maker still faces a challenging road ahead to regain users’ trust after the March carnage.

After concluding the auction, the MakerDAO has raised enough money to completely offset the protocol’s debt. “Free” collateral auctions during Ethereum network congestion on Mar. 13 caused the deficit.

The auction conducted by the MakerDAO was meant to sell MKR, the protocol’s governance tokens, to anyone willing to bid the highest for it. If a variety of bidders took part in the auction, trying to secure some MKR, it would’ve been a sign that investors still believe in Maker’s ability to dominate DeFi. 

Paradigm, a crypto-based investment firm and existing MKR holder, announced that they had won over 72 out of 106 auctions, representing 68% of the total number of auctions. After some on-chain investigation, The Block found that the Maker Foundation won the first 33 rounds of the auction.

Those who attack EOS for being centralized are the same people who applaud MakerDAO's governance model.

Less than 20 whales decide MakerDAO's governance. EOS has 21 block producers.

My question: At what point does a distributed system become decentralized? Who decides?

— DeFi Dude