Apples and oranges. DAI is a stablecoin pegged to US$. Not related to BTC. If BTC doubles (or tanks to half), that doesn't affect the price of DAI, because holding DAI is like holding cash (US$). And if you hold it on Binance, they pay 12% interest on it. If you want exposure to BTC, then transfer your BTC somewhere that pays interest, like BlockFi, which pays 6% on BTC.Easto wrote: ↑ BTC —> DAI = 12% Interest, but .....
I have $500 worth of BTC hypothetically.
I take that $500 worth and move it to Binance
It’s transferred into DAI to earn 12% interest
So, what happens when the value of BTC doubles? How does that affect the DAI?
I understand I’m getting 12% interest, but what about the value of BTC itself increasing?
Moving to DAI was a suggestion if you want to have a portion of your crypto in a stablecoin earning high interest. If you only want exposure to BTC or XRP, then simply transfer your BTC and XRP to CeFis paying interest (since the ones that you have your coins are not paying any interest).