Coinbase Users Can Now Earn $14 in DAI for Learning About Maker’s CDPs

Siamak Masnavi

Although Coinbase introduced the idea of "earning Dai while learning Dai" on June 10, at the time, Coinbase Earn only offered three basic lessons ($2 reward for each). Now, however, there is an advanced lesson available that lets Coinbase users earn $14 in Dai (DAI).

What Coinbase said back then was that "Coinbase Earn", its educational service that rewards users for learning about different cryptocurrencies, had added support for Dai (DAI), the "first decentralized stablecoin on the Ethereum blockchain."

What is Coinbase Earn?

As CryptoGlobe reported, Coinbase Earn was originally launched in "invite-only mode" on 19 December 2018, giving a few lucky users the chance to learn 0x (ZRX) as they learn about it. Here is how Coinbase explained the motivation behind Coinbase Earn:

Coinbase Earn allows users to earn cryptocurrencies, while learning about them in a simple and engaging way. The idea is for users to understand more about an asset’s utility and its underlying technology, while getting a bit of the asset to try out.

The basic idea is that in each lesson, you watch a short video (usually a couple of minutes long) after which you can perform educational takes (such as taking a multiple-choice quiz) for which you are rewarded a certain amount of crypto (usually, around $2 in a particular cryptocurrency for each lesson that you prove you have learned by passing its associated quiz).

Although Coinbase Earn is available now in the 100+ jurisdictions in which Coinbase operates, only eligible users (those who have passed KYC Levels 1 and 2) in the following 19 jurisdictions can currently join Coinbase Earn and start earning crypto: 

United States (excluding residents of New York or Hawaii state), United Kingdom, many countries in the European Union (Belgium, Switzerland, Denmark, Ireland, Germany, Iceland, Luxembourg, Netherlands, Norway, Sweden), Canada, Singapore, Australia, Hong Kong, New Zealand, South Korea, and Taiwan.

Users in other jurisdictions in which Coinbase operates can join a waiting list, and they will get notified when Coinbase becomes available there.

At the moment, Coinbase Earn offers the opportunity to earn Dai (DAI), EOS, Stellar Lumens (XLM), Zcash (ZEC), Basic Attention Token (BAT), and 0x (ZRX), but Coinbase says it plans to extend the set of cryptoassets on offer in the future.

Learn Dai, Earn Dai

Coinbase's June 10th blog post said that Coinbase customers could "start earning DAI by watching lessons and completing quizzes about DAI and its features." What was interesting about this offer was that this was the first time that a sablecoin has been "made available through Coinbase Earn." 

Here is how Coinbase described Dai:

According to the DAI whitepaper, DAI is a decentralized stablecoin running on Ethereum and designed with a goal of maintaining a target value of approximately $1 USD. DAI is backed by collateral on the Maker (MKR) platform. The relevant whitepapers explain that MKR and DAI tokens form a paired set of assets in which MKR provides governance, and DAI is a decentralized, collateral-backed stablecoin.

Until July 26, Coinbase Earn's "Dai Course" only offered three basic lessons:

  • What is Dai? ($2)
  • What is Dai used for? ($2)
  • How does Dai stay stable? ($2)

However, on July 26, Coinbase Earn added an advanced lesson ("Generate Dai with Maker") that lets you earn an additional $14 in Dai (DAI).

Here is how Coinbase announced this news:

Lesson 4 teaches you how to generate Dai by using Coinbase's non-custodial wallet "Coinbase Wallet" to open a Collateralized Debt Position (CDP) with Maker. Once you complete this tutorial, you will receive $14 in DAI from Coinbase. The reason for using Coinbase Wallet is so that you can use its built-in decentralized application (DApp) browser to connect to Maker's CDP Portal.

Completing the tutorial will take only a few minutes. Here are the main steps:

  • Open Coinbase Wallet (mobile app);
  • Connect it to your account;
  • Ask Coinbase to send some you some ETH, which you can then use as collateral for opening a CDP;
  • Once this ETH has arrived, open the DApp browser on Coinbase Wallet, then tap the Maker promo or type “” into the address bar at the top of the screen.
  • Tap “Connect” to connect to Maker, then tap the “Open CDP” button to create a CDP;
  • Collateralize ETH (e.g. 0.005) to generate some Dai;
  • Accept Maker’s Terms of Service, and then tap the “Create CDP" button. Once you have confirmed payment, you are done.

Over on Twitter, Balaji S. Srinivasan, the former CTO of Coinbase, made the following interesting observations:


Featured Image Courtesy of Coinbase

Weekly Newsletter

Bitcoin Dominance Bump Unlikely to Last — Market Analysis

The entire crypto market seems to be going risk-off and turning to a state of correction, after an excellent start to 2020 throughout January and February which saw significant gains. This is reflected in the brief pop in Bitcoin market dominance. But in the longer term, it’s a different story, and we must always bear in mind the intercourse the conflicting trends of different timeframes – and how they can still agree with each other.

Here, rather than focusing on any specific crypto, we’ll look at the market as a whole using some trusted indicators.

We first look at a small-to-medium-timeframe chart of Bitcoin plus Bitcoin’s market dominance arrayed against the “Others” market dominance, Others being a basket of all altcoins below the top 10. This panoply of charts gives us a broad insight into the whole market.

just some speedbumpsBTC chart by TradingView

During January and some of February, we can see clear risk-taking in the form of a rising altcoin market share. Bitcoin’s price was rising even as its dominance was falling: peak altcoin conditions, where so much buying is coming into the system that more entities are buying Bitcoin than selling Bitcoin for altcoins, even when there is a lot of that.

This pattern has reversed in the past few days, with Bitcoin’s price falling even as its dominance rose, with altcoins being sold back into Bitcoin. The market was overheated in the short term, and people are wisely hedging their profits.

But this trend is unlikely to last. Zooming out and looking at a chart of Ethereum/Bitcoin and both dominance charts again (with Ethereum being a general proxy for the altcoin market), we see a different story.

the bigger picture says the opposite thingETH chart by TradingView

There is a lot going on here. First we can note that Ethereum – again, bearing in mind its role as a general proxy for altcoins – has retaken a very important inflection line that it lost during 2019, the dotted line. It is likely, based on this line retaken last week, that Ethereum is starting a long term uptrend against Bitcoin – and that altcoins in general will do the same in the long term.

Moving to the Bitcoin dominance display in the middle panel, we see an agreement of the above thesis. Bitcoin’s dominance has fallen below its own critical level, namely the area near and above 70%, which BTC held for a while during 2019. This level had not been held since 2017, when Bitcoin put in its all-time-high – and it now looks to be trending steadily away from it again.

This trending away will again provide the space for altcoins to grow in market share, and we have already seen the beginning of this trend during 2020. Perhaps what we have seen was only ‘Round One’.

And moving below to the Others dominance, we see that this indicator has, yet again, taken an important level of 6% and is likely trending away from it. This is the same message in reverse: this level was first tickled during the first real altcoin mega-rally, in the beginning of 2017, and stayed above it for years. It was lost for a time in 2019, about the same time Bitcoin retook its level of 70%.

The larger trends are likely moving in the opposite direction than the shorter ones. Bitcoin's price, based on these indicators, is likely to continue rising even as its market share continues to falls. Altcoins, after years of being battered, are likely to continue gaining market share; and in that situation, the pie can only be getting larger overall.

The views and opinions expressed here do not reflect those of and do not constitute financial advice. Always do your own research.

Featured Image Credit: Photo via