Davide
@0xdavide
📈➖📉Not everyone knows that there are volatile stablecoins, for example Ampleforth ($AMPL). This stablecoin (Erc20) varies on average from $0.75 to $1.50 with peaks even at $3-4. However, the "rebase" (with oracles) that mint/burn supply brings the price back to around $1.20 (initially the target price was 1$). When the price is too high, supply is created (inflation), holders are incentivized to sell. When the price is too low, supply is burned (deflation) and people are incentivized to buy. The rebase of $AMPL occurs based on the average price of the asset compared to the target price, which was anchored to $1 in 2019, now 1.20$ (inflation). The rebase mechanism works as follows: ➕Positive rebase (Increase in supply): If the price of AMPL is above ~1.26 USD, the supply is increased to lower the price. ➖Negative Rebase (Decrease in Supply): If the price of AMPL is below ~1.14 USD, the supply is reduced to raise the price. 🟰No Rebase: If the price is between 1.26 USD and 1.14 USD.
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Davide
@0xdavide
I close with an interesting thing: sometimes passion is rewarded! When I was trying to understand (between 2019 and 2020) how $AMPL works in non-custodial wallets, after about 1 year (2021) I was rewarded with a great airdrop ($FORTH given away to $AMPL holders). It was enough to hold about 8-9 $AMPL ($10) to receive about 7k airdrop! At the time, airdrops did not have points/quests and it was not possible to farm them (they were unpredictable). There were not even scaminfluencers on X/Telegram who shill garbage!
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