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Mai Finance
  • Introduction
  • General Introduction
  • Detailed introduction
  • How Does it Work: Stablecoin Economics
  • Debt Ceilings
  • Peg Stability Module
  • Liquidations
  • Fees
  • Risks Management
    • Security
    • Collateral Assets
    • Controlled Risks
    • Chain Risk
  • Governance Proposals
    • Proposal Procedures
    • New Asset Proposal Template
    • General QIP Template
    • Evolution of the DAO
  • resources
    • Links & Resources
    • Press and Branding Kit
    • Qi Glossary
    • Service Agreement
  • Tokenomics
    • Qi Token
    • Qi Locking
    • Governance
    • Token Distribution
  • Smart Contracts
    • Important Addresses
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On this page
  • Who holds your tokens?
  • Has the project been audited?
  • How is QiDao different from algorithmic (algo) stablecoins?
  • What safeguards are in place to protect the Protocol from black swan events?

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  1. Risks Management

Security

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Last updated 11 months ago

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Who holds your tokens?

All funds are controlled by the users that deposit them. The QiDao Protocol does not have control over your funds or MAI debt.

Has the project been audited?

The QiDao Protocol has been audited twice. Initially by Bramah Systems: . They have audited mStable, dYdX, SetProtocol, IchiFarm, and others in the past.

QiDao was also audit by Cloakwire: .

As new features are added, more audits will take place.

How is QiDao different from algorithmic (algo) stablecoins?

The QiDao Protocol does not rely on an algorithm to manage the stablecoin’s peg. The peg is maintained through organic market incentives and penalties. MAI’s value is backed by overcollateralized vaults of accepted tokens. This means that all MAI is always backed by more value than it is worth. Read more about how the peg is maintained .

What safeguards are in place to protect the Protocol from black swan events?

Debt Ceiling:

The debt ceiling is the maximum amount of MAI that can be minted. Each vault type has their own debt ceiling, which is periodically raised in response to demand and the MAI peg. The goal of the debt ceiling is to prevent a large amount of MAI from flooding the market that could negatively affect the MAI price.

Risk Management:

QiDao's risk management assumes worse case scenarios when architecting loan parameters. This helps MAI remain overcollateralized even in the worst of market conditions.

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