RDai

Basics

• AKA Redeemable Dai
• DeFi
• rDai is live on Mainnet (12-11-2019):

"rDai (redeemable DAI) allows you to invest your money in an interest generating pool, used for collateralized loans. You still hold on to the exact amount you invested, and can spend and transfer it at will. You also decide who benefits from the generated interest: yourself, a community fund, a charity, or a dApp you are using."

• rDAI, from the Token Economy newsletter:

"rDAI is the newest of those modules. A DAI holder can deposit it into a smart contract (rBank), which then auto-puts DAI at work on Compound while generating cDAI. The original DAI holder now has rDAI, an ERC-20 token always redeemable for the original quantity of deposited DAI ("redeemable DAI"), and can direct the flow of continuous interest earned by the underlying cDAI to any beneficiary address.

This allows all sorts of interesting 'passive' funding mechanisms by giving developers (eg wallets) a really simple tool to monetize or do other things like subsidizing txs etc."

• From DeFi Rate:

" rDai operates in a similar fashion to the “get something for free” model, which allows users to “pay” for products and services using nothing but accrued interest from loaned cryptocurrency.

At the time this was written, Dai generates around 10.63% annually via DeFi lending protocols, which could be utilized in such systems."

• On what it does:

"rDai is a Tokenized version of the Dai stablecoin. The difference between the two is that rDai enables you to automatically allocate your accrued interest to a recipient of your choice.

The concept was originally created for the purpose of charitable giving, but also opens the door for a range of use cases. This includes decentralized autonomous organizations (DAOs), layer 2 payment protocols, and other dApps."

• How it works:

"rDai is 1:1 backed with Dai, and is based on Ethereum as an ERC20 token. The custody of collateral also remains decentralized – unlike many other stablecoins. Users’ Dai coins are both locked up and redeemed via a smart contract, which means another party is never in charge of your Dai."

Funding

• Got a grant from MetaCartel DAO (as of 1-2020 on the website).
• Got a grant in the third round of Gitcoin Grants.