About Chai (CHAI)

Chai is ERC20 token that lets you earn interest on Dai without requiring it to be locked in the Dai Savings Rate. It can be transferred freely and is always redeemable for an ever growing amount of Dai. With the launch of multi-collateral Dai, Dai holders can earn risk-free interest on their coins using the Dai Savings Contract, also known as the Pot. The interest is funded out of the stability fees paid by CDP users, and is 2% per year at the time of writing. Even though Dai deposited in the savings contract remains instantly redeemable, interest accruing Dai cannot be directly transferred, or used in other dapps. Chai solves this by essentially "unlocking" your Dai savings balance, making it transferable, fungible, and ready for further DeFi integrations.