As a Publish0x user, there’s a high chance you've heard about Ampleforth’s $AMPL token before. It's a novel crypto, multi-variable-asset, with an elastic supply and a big brain team.
$AMPL has opened a totally new field for developers to play on, a new niche within crypto so to speak. Undiscovered, uncharted waters.
Just like how Litecoin creator Charlee Lee took Bitcoin's core code and rewrote it a bit, (changing its total supply limit from 21M to 84M, its mining algorithm from SHA-256 to script, its block time from 10 min to 2.5 min, and its halving from every 210,000 blocks to every 840,000 blocks) – similar things are happening with AMPL today.
It’s like the early days of crypto where new innovations were built off of each other, except now they’re not based on Bitcoin, but rather on Ampleforth.
Let's discover 2 Interesting Projects that are being built using the pioneering $AMPL mechanics.
''When Digg'' - asks like half of Crypto Twitter
$DIGG is a community-owned Bitcoin DeFi product by BadgerDAO. It’s based on the $AMPL codebase, but unlike $AMPL, it’s a non-custodial elastic-supply crypto pegged to BTC, not USD.
Therefore, while $AMPL’s supply is automatically adjusted based on demand with the intention of decoupling from Bitcoin’s volatility, $DIGG’s supply is adjusted when BTC goes up or down and is meant to mimic BTC.
Digg website homepage
As mentioned, $DIGG is a product by BadgerDAO – a community-owned decentralized autonomous organization (DAO) whose sole purpose is to build products and infrastructure that support Bitcoin as a collateral asset across blockchains.
Right now, BadgerDAO is focused on bringing Bitcoin to the realm of Ethereum DeFi and is doing this very soon with their second Bitcoin DeFi product, $DIGG.
However, while these guys founded and launched BadgerDAO, the community-owned DAO itself is responsible for creating $DIGG and is launching it in such a way where it will be 100% community-owned from day 1.
As seen in the Tweet thread below, 600 $DIGG will be airdropped to users of the BadgerDAO app and they will have full control over all of $DIGG’s parameters from day 1. There will be no investors and the only way to acquire $DIGG will be through the app:
$DIGG Use Cases
- Stake for $bDIGG
- LP & Stake
Stake for $bDIGG
You can Stake $DIGG in the $DIGG only vault to earn 100% auto-compounding rewards. Rewards are proportionate to your share of the vault and are paid out in $bDIGG (which is non-rebasing).
LP & Stake
You can provide liquidity to the ‘DIGG/WBTC Sushi vault’ or ‘DIGG/WBTC UNI pool’ to earn LP tokens. After you're done providing liquidity, you can stake your earned LP tokens in the DIGG/WBTC vault to earn $BADGER and $DIGG.
You can simply hodl your $DIGG and grow your supply when the BTC price goes up. But remember, like $AMPL, you will always own the same % of supply, even if you get more $DIGG tokens from a rebase.
Many of the same trading strategies and game theory associated with $AMPL apply to $DIGG as well. So you define a winning strategy and maximize your wealth if executed correctly.
All in all, $DIGG looks like it’ll be an exciting new cryptocurrency experiment that will be launching soon!
The next big DeFi project setting off everyone's radar is Yield (YLD).
And just like many DeFi protocols these days, Yield (YLD) is led by a pseudonymous developer or entity known as Coiner_, and the project is spreading like a virus among AMPL crowds and beyond:
What is Yield (YLD)?
Yield is a non-custodial P2P lending platform with an incentivized borrowing & lending mechanism using $YLD. It’s built on Ethereum and enables anyone to place a lending offer or borrow request on the Yield dapp and have it funded by the corresponding peer, no questions asked.
That said, lending and borrowing on the platform are individualized (ie. Peer-to-Peer, not pooled). Loans can be repaid at any time and lenders earn a fixed, guaranteed interest rate starting at 2% and up to 12.5%, while the borrower earns up to 350 $YLD (subject to changes) if they maintain healthy loans and repay them on time.
Yield (beta) Interface
Note, the product is still in beta testing at yield.credit so if you choose to use it, proceed with caution.
Unlike $AMPL, $YLD has no dynamic supply, there is no cap and it can go up or down. A borrower is rewarded with up to 350 $YLD once he repays the loan on agreed terms.
As for the reduction of $YLD supply, 100% of the fees on the platform are used to buy back $YLD on the open market and burn it. That's how the supply is reduced.
The key tie between $AMPL and Yield Credit is that $AMPL will be used as one of the first assets for lending and borrowing, paving the way for other elastic assets.
And what’s interesting is that $AMPL’s official team endorses $YLD: