More on elastic supply cryptos: https://defiprime.com/elastic (YAM)

Bitcoin Economics

• better bitcoin

  • https://www.ampleforth.org/papers/
  • https://www.ampleforth.org/roadmap/
  • https://www.ampleforth.org/technology/
  • https://www.ampleforth.org/economics/
    • ??? wait but no currency is REALLY fixed supply — fractional reserve banking = allows for lending protocols to circulate money that isn't 100% backed by reserve: money multiplier

• crypto where supply changes daily — in response to demand; number of AMPL owned changes daily

  • when price is high, wallet balances increase - when price is low, wallet balances decrease
  • tries to maintain 1 USD target peg
  • applied proportionally across every wallet — so your percent ownership of network stays fixed (non-dilutive)

• == decouple the price from other cryptos correlations; reduces systemic risk

  • counter-cyclical trading pressures
  • AMPL diversifies a dangerously correlated ecosystem. = https://www.ampleforth.org/economics/

• solves inelasticity problem (elasticity = how affectable that demand is on basis of price)

  • assumption: btc is pretty inelastic (??) and therefore doesn't represent free-market as much as it should

  

• whitepaper published in May 2019

  • Synthetic commodities, such as Bitcoin, have thus far demonstrated low correlation with stocks, currencies, and precious metals. However, today’s synthetics are also highly correlated with each other and with Bitcoin. The natural question to ask is: can a synthetic commodity have low correlation with both Bitcoin and traditional asset groups? In this paper, we 1) introduce Ampleforth: a new synthetic commodity and 2) suggest that the Ampleforth protocol, detailed below, will produce a step-function-like volatility fingerprint that is distinct from existing synthetics.

• ??? concept was fundamentally new and challenges everything we know about basic economic systems — how were you convinced that this is something that would be a good idea and would work?

AMPL

Dubbed an “adaptive money” project, Ampleforth is designed as an uncollateralized, synthetic commodity that is aimed at providing returns that are uncorrelated with the rest of the cryptoeconomy. It’s the largest price-elastic token project to date.

Notably, Ampleforth relies on a Chainlink oracle price feed to determine the AMPL exchange rate. The target price of Ampleforth’s AMPL token is $1.009 in accordance with the U.S. dollar’s 2019 Consumer Price Index (CPI) rate, and the project’s rebases take place daily at 2am UTC.

• As for how AMPL is doing now, the token hit an all-time price high of $3.79 on July 11th, 2020, and the project’s since come back down to earth. At the time of this post’s writing, the AMPL price was $0.59 and the token had a $139 million market cap with a circulating supply of ~256 million AMPL.

  

• ampl is bitcoin ↔ stablecoin bridge... how is it doing as a stablecoin holding value???