DAI vs M
Dai and M by M0, compared on the things that decide whether you get your dollar back. Live data, updated continuously.
30-day peg gap and DAI/M spread
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The original decentralised dollar. Minted against overcollateralised vaults and stability modules, with all collateral verifiable on-chain.
Verdict band: Strong
M by M0 is a dollar-denominated token tracked across 6 chains. No verified issuer disclosure is on file, so its collateral and legal structure score conservatively.
Verdict band: Adequate
| Safety scoreComposite of collateral, peg, liquidity, issuer and track record. | ●●●●●5 of 5 | 80 | 73 | DAI |
|---|---|---|---|---|
| Collateral qualityWhat actually backs the token, and how liquid that backing is. | ●●●●●5 of 5 | 84 | 55 | DAI |
| Exit liquidityWhether you can leave at size without moving the price. | ●●●●●5 of 5 | $305.57M | $1.15B | M |
| Issuer & legal standingRegulatory perimeter, disclosure quality and redemption rights. | ●●●●4 of 5 | 82 | 48 | DAI |
| Peg tightness (live)Absolute distance from $1.00 right now — smaller is better. | ●●●●4 of 5 | −0.014% | 0.000% | M |
| Worst recorded depegHow badly the token has broken before, as a stress precedent. | ●●●●4 of 5 | -7.4% | None recorded | M |
| Track recordYears live and behaviour through past stress events. | ●●●●4 of 5 | 97 | 53 | DAI |
| Scale / market capBigger float usually means broader venue support and tighter spreads. | ●●●3 of 5 | $4.80B | $196.36M | DAI |
| Chain reachNumber of networks where the token is natively deployed. | ●●●3 of 5 | 31 chains | 6 chains | DAI |
| Best available yieldUpside — but every extra point above T-bills is paid for with risk. | ●●2 of 5 | 4.71% | None | DAI |
"Matters" is our weighting of how much each dimension typically drives a real allocation decision. Sort any column to re-rank the tradeoffs by what matters to you.
The short answer
DAI scores higher on safety (80 vs 73), driven mainly by collateral quality and disclosure. M has deeper tracked liquidity ($1.15B), which is what determines whether you can exit at size. DAI currently earns up to 4.71% — remember that any rate above the T-bill yield is payment for a risk.
If both are fiat-reserve tokens, note that holding both is not diversification: they share the same short-dated Treasury and banking exposure. Genuine diversification means mixing collateral structures.
Which one fits your goal: DAI or M?
Capital preservation over everything else.
For park cash safely, DAI edges out M — but it is close enough that either works.
- Safety score 80 vs 73, with collateral rated 84/100.
- Current peg deviation -0.014% against 0.000% for M.
- DAI has 2 recorded depeg event(s) — read them before sizing up.
Concentrating in one issuer is a single point of failure regardless of score. Split across collateral structures.
Key risks, side by side
DAI
- Collateral volatility: a fast drawdown in backing assets can force liquidations.
- Depeg history: 2 recorded event(s), worst deviation -7.40%.
- Attestation cadence: onchain.
- Yield venue risk: 4.71% is earned outside the token itself.
- Chain concentration: 88% of supply sits on Ethereum.
M
- Issuer and banking risk: reserves sit with Undisclosed under Not documented rules.
- No depeg recorded in our incident log — absence of history is not a guarantee.
- Limited public attestation of reserves.
- Chain concentration: 82% of supply sits on Ethereum.
| Metric | DAI | M |
|---|---|---|
| Category | Stablecoin | Stablecoin |
| Issuer | Sky (formerly MakerDAO) | Undisclosed |
| Jurisdiction | Decentralised / Cayman foundation | Not documented |
| Collateral | crypto-overcollateralized | fiat-backed |
| Peg mechanism | crypto-backed | fiat-backed |
| Attestation | onchain | none |
| Redemption | direct | market-only |
| Price | $0.9999 | $1.0000 |
| Peg deviation | −0.014% | 0.000% |
| Market cap | $4.80B | $196.36M |
| 7d supply change | +0.09% | +0.12% |
| Liquidity | $305.57M | $1.15B |
| Best yield | 4.71% (flux-finance · Ethereum) | None |
| Chains | 31 | 6 |
| Launched | 2017 | — |
| Worst recorded depeg | −7.4% | None recorded |
Spread, peg gap and switching cost
- Price spread (DAI vs M)
- -1.4 bps
- $0.9999 vs $1.0000
- Peg deviation gap
- 0.014 pp
- DAI −0.014% · M 0.000%
- Yield spread
- +4.71%
- DAI 4.71% · M —
- Liquidity ratio
- 0.27×
- $305.57M vs $1.15B
A round trip between DAI and M costs roughly the market spread plus venue fees. At 1.4 bps of price gap, swapping $1M implies about $143.86 of price impact before fees — usually only worth it if the peg gap or yield spread is durable, not intraday noise.
Historical context
Track record is the part of a stablecoin you cannot model — it has to be observed. Here is how DAI and M have actually behaved since launch, including every stress event we have on record.
- DAI
Dai goes live.
- DAI
Single-collateral Dai launches on Ethereum.
- DAI
Black Thursday: liquidation failures leave MakerDAO with bad debt.
- DAI
Collateral mix tilts heavily toward USDC, importing centralised risk.
- DAI
USDC contagion via PSM (worst deviation -7.4%).
Chain coverage
DAI is live on 31 chains, M on 6. 3 chains carry both, so bridging is only unavoidable for the 31 networks where just one of them is deployed.
| Chain | DAI | M | Both available |
|---|---|---|---|
| $4.20B | $161.68M | Yes | |
| $465.56M | — | DAI only | |
| $35.11M | — | DAI only | |
| $31.07M | — | DAI only | |
| — | $17.06M | M only | |
| $16.85M | $166.2K | Yes | |
| $510.3K | $15.47M | Yes | |
| $13.62M | — | DAI only | |
| $12.05M | — | DAI only | |
| $11.23M | — | DAI only | |
| $7.98M | — | DAI only | |
| $1.89M | — | DAI only | |
| — | $1.59M | M only | |
| $785.5K | — | DAI only | |
| — | $386.9K | M only | |
| $373.8K | — | DAI only | |
| $195.9K | — | DAI only | |
| $142.9K | — | DAI only | |
| $106.7K | — | DAI only | |
| $103.8K | — | DAI only |
DAI vs M: frequently asked questions
Is DAI or M safer?
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On our composite safety score DAI rates 80/100 versus 73/100 for M. The score weighs collateral quality (crypto-overcollateralized vs fiat-backed), redemption rights, attestation quality, peg history and liquidity depth. A higher score is not a guarantee: both remain issuer-credit and smart-contract exposures, not insured bank deposits.
What is the difference between DAI and M?
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Dai is issued by Sky (formerly MakerDAO) (Decentralised / Cayman foundation), backed by crypto-overcollateralized, with redemption terms: direct. M by M0 is issued by Undisclosed (Not documented), backed by fiat-backed, with redemption terms: market-only. Attestation coverage is "onchain" for DAI and "none" for M.
Which has the bigger market cap, DAI or M?
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DAI is larger at $4.80B in circulating supply, against $196.36M for the other. Over the last 7 days supply moved +0.09% for DAI and +0.12% for M.
Are DAI and M trading at $1.00 right now?
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DAI trades at $0.9999 (−0.014% off peg) and M at $1.0000 (0.000% off peg). The gap between the two is about 1.4 basis points, which is the cost you pay when rotating size between them before fees.
Has DAI or M ever depegged?
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DAI: worst recorded deviation −7.4%. M: no material depeg recorded in our incident set. Past peg behaviour under stress is the single best available proxy for how a token trades in the next crisis.
Which is better for large institutional size, DAI or M?
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For block size the constraint is exit liquidity and primary redemption, not headline supply. M shows deeper on-chain liquidity at $1.15B versus $305.57M. Combine that with the redemption channel — DAI: direct; M: market-only — and size trades against the primary window rather than the order book where possible.
Can I earn yield on DAI or M?
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DAI currently shows the higher rate at 4.71% via flux-finance · Ethereum, against no tracked rate for M. Neither token pays interest by holding it in a wallet: the yield comes from lending, liquidity provision or a wrapped yield-bearing version, each with its own counterparty and contract risk.
Which chains support both DAI and M?
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Both are deployed on 3 shared networks, including Ethereum, Arbitrum, Solana. DAI spans 31 chains in total and M spans 6. Bridged supply on a chain is not the same as natively issued supply, and it usually carries the bridge's risk rather than the issuer's.
What does it cost to switch from DAI to M?
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Budget three components: the current price spread of roughly 1.4 bps, swap or venue fees, and slippage against available depth ($305.57M for DAI, $1.15B for M). For meaningful size, redeeming with the issuer and minting the other side is often cheaper than a secondary-market swap.
Is DAI or M regulated?
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DAI is issued from Decentralised / Cayman foundation with onchain; M is issued from Not documented with none. Regulatory status varies by your own jurisdiction and by whether the token is offered under a specific stablecoin regime, so treat this as a starting point for diligence, not legal advice.