If you’re wondering how to buy Dai (DAI) in Canada, you’ve come to the right place. This post will walk you through exactly how to buy it using Newton, one of the top-rated crypto exchanges in Canada and the easiest way for Canadians to buy Dai.
Newton is a particularly good choice for buying and selling Dai because it verifies accounts instantly, supports more than 75 crypto assets, and has zero trading fees (aside from the spread). If you’re serious about crypto investing and want to work with a reputable, reliable exchange, I highly recommend Newton.
What Is Dai (DAI)?
Dai (DAI) is an Ethereum-based decentralized stablecoin that came as a more versatile version of the original Dai token, now known as Single-Collateral Dai (SAI). DAI was announced in 2018 and launched in 2019 by the DAO MakerDAO, which in turn was founded in 2017 by Rune Christensen. Dai is a stablecoin directly linked to the US dollar, with an exchange rate of 1:1.
However, unlike most stablecoins out there, Dai’s collateral isn’t just one fiat or cryptocurrency, but rather many. DAI supports coins like the Basic Attention Token (BAT), Compound (COMP), USD Coins (USDC), and many others to be used as collateral; this gives DAI more stability and decentralization compared to other stablecoins.
Dai tokens are not mined, and there isn’t a maximum circulating supply. New tokens are minted through a Maker Protocol whenever a user deposits a supported collateral coin into the Vault – users receive an equivalent amount in Dai tokens. This process is automatic and is executed by smart contracts on the Ethereum blockchain.
Dai uses a variant of the Proof of Stake (PoS) consensus algorithm to validate transactions, called the Savings Rate system, which rewards holders who soft-lock their tokens.
Here are some other quick facts about Dai:
|Asset Type||Ethereum-based Stablecoin|
|Market Cap||$9,000,522,775 USD|
|All Time High||$1.22 USD|
|All Time High Date||Mar 13, 2020|
Why you should trust me
ExperiencedI bought my first cryptocurrency (Bitcoin) in 2013, bought Ethereum in 2017, and have held active accounts with at least 5 exchanges since 2018.
UnbiasedAll of my selections are supported by multiple data points, including crypto thought leaders, security experts, and TrustPilot reviews.
Deep ResearchMy team and I spent more than 100 hours researching exchanges before choosing our top picks, and we update them almost daily as the industry continues to change.
Where To Buy Dai In Canada
Here’s how to buy Dai in Canada smoothly and easily:
1. Open Your Newton Account
Opening a Newton account is easy: go to their website, enter your name and email, and follow the prompts to upload a piece of government-issued ID to verify your account.
If you sign up using my referral link, you’ll get a $25 signup bonus upon depositing $100 or more into your account.
2. Fund Your Newton Account
Canadians can fund their Newton account through Interac e-transfer, wire transfer, or cryptocurrency transfer from an external wallet. I recommend Interac e-transfer, since it’s fast, easy, and totally free.
Your funds will appear in your account in 30 minutes or less.
3. Buy Dai With Newton
Once you’ve funded your account, you can go ahead and buy however much Dai you want. To do that with Newton, log in to the app or web platform, tap Trade (the icon with two arrows), enter the dollar amount you wish to purchase, and select Dai from the dropdown menu.
Your order will be processed immediately, and your Dai will show up in your account right away. And that’s it—you just bought Dai!
Zero Trading Fees
Spreads: 0.2% – 0.7%
Why Newton Is Great For Buying Dai
There are many reasons Newton is my exchange of choice for buying Dai, but here are just three:
1. Extremely Low Fees
Newton doesn’t charge any trading fees, deposit fees, withdrawal fees, or any other types of fees you can think of. They even cover the first $5 on every crypto withdrawal, going above and beyond to save you money.
The only way Newton will make money your trades is through a narrow spread that’s charged on each trade. Newton’s spreads are very competitive with other exchanges, and you can see its live spread on Dai on its Fees page.
2. Wide Variety Of Coins
Newton currently supports more than 75 crypto assets, so if you want to trade other altcoins aside from Dai, Newton is your best bet for finding them.
3. Designed For Canadians
If you use a non-Canadian exchange, you generally have to fund your account with US dollars and pay foreign exchange fees ranging anywhere from 2-5%. Newton is a Canadian exchange, though, so you can fund your account directly with Canadian dollars without any fees.
Other benefits of Newton include the ability to fund your account via Interac e-transfer or from your Canadian bank account for free, plus the knowledge that you’re using a homegrown exchange that follows all current and anticipated Canadian regulations, ensuring your funds and crypto are always fully secure.
Where To Store Dai
Storing Dai is easy as long as you have the right crypto wallet to protect it and keep it secure. There are dozens of different wallets out there, each with their own set of features, many of which cost $100 or more to buy.
With Newton, though, you can skip expensive wallets altogether and just store your crypto right inside their app. Newton maintains third-party custodian partnerships with Fireblocks and Balance, which means they keep their users’ digital assets under cold (offline) storage at institutional-grade storage facilities. Other benefits of using Newton include:
- The widest selection of coins of any Canadian crypto wallet/exchange
- Newton performs daily off-site backups to ensure your crypto is always kept safe
- Open an account in 30 seconds
- $25 bonus when you buy $100 in crypto using my signup link
Newton is a widely trusted wallet and exchange I’ve personally used for more than a year. Whether you want to make your first crypto purchase or just spread out where you hold your coins, I can’t recommend Newton enough.
Zero Trading Fees
Spreads: 0.2% – 0.7%
Here’s how to buy Dai in Canada:
- Open a Newton account using my referral link to get your $25 signup bonus.
- Deposit Canadian dollars into your Newton account with zero fees.
- Exchange dollars into Dai with no commissions—you just pay the spread.
Buying Dai In Canada FAQs
What Fees Are Involved With Buying Dai?
Newton doesn’t charge any trading fees or commissions on Dai, so you just pay a spread of around 0.2% – 0.7%.
Which Canadian Exchanges Offer Dai?
Newton is the only exchange Canadians can use to buy Dai today. Other exchanges like CoinSmart and Bitbuy may add support for Dai in the future, but right now, Newton is the only option Canadians have.
How Do I Sell Dai In Canada?
To sell Dai, log in to your Newton account, go to Market -> Exchange (the arrows in the bottom-right of the app), and then set up the trade by entering the amount of Dai you wish to sell. Once the sale is complete, you can withdraw your fiat currency into your bank account via Interac e-transfer or direct deposit.
Alternatively, if you wish to transfer your Dai to a wallet outside of Newton, go to Market -> Exchange -> Withdraw -> Crypto to Wallet, select Dai from the dropdown list, and enter your external wallet address. Always double-check your external wallet address before processing your withdrawal request, as cryptocurrency transactions can’t be reversed once they’ve been submitted.
Is Dai A Good Investment?
At its current price of $0.9993 USD, Dai is down 18.09% from its all-time high of $1.22 USD on Mar 13, 2020. If the past is any indication, though, there’s a good chance Dai will increase from here and challenge its all-time high again, probably when Bitcoin approaches its all-time high, too.
Of course, all cryptocurrency investments are volatile and uncertain, so I recommend that you only invest money you can afford to lose.
Dai Price Prediction
Our price prediction for Dai is $1.57 USD within 12 months. This equates to an increase of 58% from its current price of $0.9993 USD, and assumes that Bitcoin will surpass its all-time high of $69,045 USD in the next 12 months, too.