Coinbase Giveaway Lifts MakerDAO Network

Coinbase Giveaway Lifts MakerDAO Network

A recent article from Coinbase exchange has highlighted how their educational Earn program has introduced new users to the Dai stablecoin and the world of Collateralised Debt Positions (CDPs) while also raising the profile and adoption of the MakerDAO network.

According to Coinbase figures, around 9,000 CDPs had been created on the MakerDAO blockchain in the preceding 11 months leading up to the initiative. On the last Friday in July 2019, Coinbase launched their learning drive, called Dai Advanced Task, and generated more than 10,000 new CDPs over that weekend period.

More Than a Ticker

The methodology behind the learning process on Coinbase Earn is designed to help the public understand they are not simply buying into a ticker symbol but to see “…the foundations and networks behind the token.”

It is seen as a symbiotic arrangement as users gain understanding along with the free tokens while the project or foundation involved benefits from expanded user distribution and participation, leading to a greater network effect.

The Dai Advanced Task program involved Coinbase customers watching a series of short videos on the characteristics and uses of Dai before having the opportunity to open their own CDP using ETH given to them by the exchange.

Coinbase state that the effects of the learning campaign “…have been lasting, even months after the first launch weekend. It’s shown sustained growth for the network far past the initial user effect.”

However, the exchange recognised that “While the lesson has introduced many new people to engaging in blockchain debt positions, it has not yet significantly changed the value of the total debt positions.”

Coinbase Earn have previously run several similar campaigns for Basic Attention Token (BAT), EOS, Orchid (OXT), 0x (ZRX), Stellar Lumens (XLM), Tezos (XTZ), and Zcash (ZEC) and confirm they are working on introducing more in the future.