What is $xDAI and $sDAI?

In short, you need both to trade on Mu.

TLDR: You need $xDAI and $sDAI to trade on Mu.

• $xDAI - the native token of the network, is a stablecoin and a gas token.

• $sDAI - an interest-bearing stablecoin usable as collateral for trade and liquidity on Mu.

  • Address: 0xaf204776c7245bF4147c2612BF6e5972Ee483701

Detailed Explanation of $xDAI and $sDAI

A detailed explanation of what xDAI and sDAI are given here by the Gnosis Chain team:

xDai Token | Gnosis Chaindocs.gnosischain.com

Explanation of what xDai is.

What is sDAI?

Spark Protocol's explanation:

Savings Dai (sDAI) is an ERC-4626 representation/wrapper of DAI in the Dai Savings Rate (DSR) module. sDAI allows users to deposit DAI to receive the yield generated by the Maker protocol while still being able to transfer, stake, lend, and use it in any way they want.

“Swapping” between DAI and sDAI does not need to be done via a DEX but can be achieved by depositing and withdrawing from the DSR module.