What is Ampleforth? What is supply elasticity? Why do I have more tokens and suddenly less tokens? Where does Ampleforth come in, in the #DeFi space? How does Ampleforth work?! I don’t understand Ampleforth!
Fret not, let’s start Season 2 with a deep dive and case study of Ampleforth, using the Economics Design framework for tokens.
Ampleforth is very interesting because it could definitely become a global base currency moving forward. Instead of USD, imagine a currency that is used by everyone in the world to trade. Instead of having the world currency (USD) being tied to the internal politics of US, this new currency is neutral and changes its monetary supply based on the global demand of money.
In this episode, we will uncover the design of Ampleforth works, the economic considerations and how it plays a role in the DeFi space.
- What is Ampleforth
- Objective of Ampleforth
- Token function
- AMPL vs AAVE
- AMPL vs COMP
- AMPL vs USD
- Economics design framework
- Main USP of AMPL
- What is Synthetic commodity money
- Economics utility vs financial utility of AMPL
- How AMPL works using example of hot and cold water
- Monetary policy of Ampleforth
- Graph analysis of AMPL
- Valuation model for AMPL
- Global trade impacts of AMPL
- Distribution and allocation analysis of AMPL
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