Swap, stake and grow your DAI — in one place

DAI is not a proof-of-stake asset, so there is no validator staking and no slashing. What everyone calls "DAI staking" is depositing DAI into the savings module or a lending market, where it earns interest paid by borrowers or from protocol surplus revenue.

The practical difference matters: your return depends on borrower demand and governance decisions, not on network security.

The DSR is 3.00%. The Sky Savings Rate on USDS is 3.75%. Sky governance deliberately keeps DSR 50–100 basis points below SSR so new capital flows toward USDS rather than the legacy DAI track.

Both are dollar stablecoins, so DAI → USDT trades near 1:1 through a stable pool such as Curve's 3pool. Expect 0.01–0.05% slippage on normal sizes. On Ethereum mainnet, gas is usually the larger cost — at 6 gwei a swap runs about $1.40, which makes trades under a few hundred dollars inefficient. Consider an L2 for small amounts.

DAI → ETH is a volatile pair, so price impact scales with your size against pool depth rather than staying flat. Check the quoted rate against the ETH spot price, keep slippage at 0.5% in normal conditions, and split orders above roughly $250k. Using a private relay avoids sandwich attacks on larger trades.

sDAI is the yield-bearing receipt token minted when you deposit into savings. It follows the ERC-4626 vault standard. The balance in your wallet never changes — instead each sDAI redeems for a steadily increasing amount of DAI, currently 1.0842. That growing exchange rate is your interest.

No. Four risks are worth naming. Smart-contract risk — the savings and vault contracts can fail. Peg and collateral risk — DAI is backed by a basket that includes real-world assets and other stablecoins. Governance risk — the rate is a vote, and it can be cut. Liquidity risk in lending markets, where high utilisation can delay withdrawals. Yield is compensation for these, not a free return.

In the savings module, yes — deposits are fully liquid, with no lock-up, no minimum and no exit fee. In lending markets withdrawal depends on available liquidity. Fixed-term vaults lock principal for the stated period.

USDS pays 0.75 percentage points more and gets new integrations first. Conversion is 1:1 through the official Sky Token Converter with no slippage and no fee beyond gas. DAI stays supported for backwards compatibility, so the decision comes down to yield and whether the protocols you already use have integrated USDS.

It applies the annual rate you choose to your deposit across the selected period. With compounding off it uses simple interest; with compounding on it applies the periodic rate repeatedly at your chosen frequency, which is why effective APY comes out slightly above the nominal rate. The savings module actually accrues per second, so daily compounding is a very close approximation. DAI is valued at exactly $1.00.

In most jurisdictions interest is taxable as income, either as it accrues or when you withdraw. Because sDAI grows in redemption value rather than in balance, some tax authorities treat the gain as a capital gain realised on redemption instead of ongoing income. The treatment genuinely differs by country — take local advice rather than assuming.