Editor's Note: This article comes fromGolden Finance, reprinted by Odaily with authorization.

Editor's Note: This article comes from

Golden Finance

Golden Finance

, reprinted by Odaily with authorization.

The author of this article is Paul Veradittakit, a partner of Pantera Capital, and authorizes Jinse Finance to translate and publish it. Interests: Pantera Capital was an early investor in Ampleforth.

Ampleforth (AMPL) is a synthetic commodity that represents a new type of money. Ampleforth is unique in that the protocol automatically adjusts the money supply based on demand.

Ampleforth has jumped to become one of Pantera's best-performing assets since mid-June. While its price target is $1, the price is over $4, giving it a fully diluted market cap of over $1 billion. There is a daily rebase (supply adjustment) at 7pm PST. If the price is above $1.06, AMPL holders will receive a positive benchmark adjustment, which increases the number of coins held by the holder according to the rules. If the price falls below $0.96, AMPL holders will receive a negative basis adjustment, which reduces the number of coins held by the holder according to the rules. It is not yet a stablecoin, but as liquidity and users increase, its volatility may decrease. Stephen McKeon of Collaborative Currency wrote a great article detailing the mechanics of how the Ampleforth protocol works.bitcoinLiquidity mining is an important factor to make DeFi project tokens more widely distributed and increase users. After listing on Uniswap and launching the geyser plan, Ampleforth has become the largest liquidity pool on Uniswap, currently reaching $44 million. Although the protocol is not the first to deploy liquidity mining on Uniswap, one of its unique mechanisms is that the reward is 1x at the beginning and 3x after 8 weeks. As a result it has attracted a lot of investors who create very creative memes to celebrate benchmarking, and meme culture is a key factor in keeping many communities active in this industry.

Recently, the project released its State of the Network report summarizing geyser's success, with unique users, wallets, and retention all highlighting the strength of the community. Ampleforth also detailed its latest token supply breakdown and how the protocol will gradually decentralize governance through community governance and the removal of pause functions (essentially emergency switches).

Use cases for Ampleforth include diversifying portfolio assets, as DeFi collateral, and as the ultimate currency. Gauntlet, a DeFi protocol economic analysis company, released a report stating that the historical returns of AMPL are not correlated with BTC and ETH on all time scales. This is the investor's

bitcoin

The value proposition view is very similar. Stephen McKeon wrote a second post on Ampleforth's vision.

The funds locked in Yam once exceeded $400 million and provided very attractive returns, but on August 13th, it crashed due to a fatal rebase bug. In the ensuing 24 hours, YAM price had an epic crash, dropping -98.9%.

Original link:Better Bitcoin