What happened to RAI? It seemed very promising. The price has actually been reasonably stable-ish for quite a while (since a rocky start).

We need a properly decentralized algo stable more than ever right now.

Pragmatism (Security) at OP Labs.
Prev: ConsenSys & Coinbase.

Attribs: Friendly, curious, introverted, mid-witted.
Chans: /eth-security /maurelian /stoicism




This is the best explainer I've found if that's what you're thinking of.
https://dankradfeist.de/ethereum/2023/01/31/rai-crypto-experiment.html

I have a decent understanding of the mechanism (classic PID controller), and that you're basically getting dampened but not zero volatility in exchange for stronger decentralization. But I can see how the consistent downtrend in '23 could turn off a lot of people, and the local spikes are pretty big which I see as more of a negative than the longer term volatility

A doodler and computerer. I like permissive/permissionless open source, smart contracts, p2p systems, room-scale VR, and NixOS.

shazow.net

Currently: WhatsABI

There's a bunch of analysis posts that have been written over the years, I can dig them up. IIRC the tldr is the price was not meant to be pegged, but rather dampened against volatility of the collateral (ETH). It used positive/negative interest rates as incentives to push/dampen the price action. But that has a cost, so I think an equalibrium of volatility around an average price point trends downwards slowly (as that "dampening" cost is slowly extracted).

HAI is a similar design but introduces multiple collateral assets with yield earning, so it should do a better job maintaining a more stable price target despite the dampening cost.