Ampleforth (AMPL) is a digital asset, intended to act as a synthetic commodity, similar to Bitcoin and gold. The project gets its name from a character in George Orwell’s novel, 1984.

Founded by Brandon Iles and Evan Kuo, Ampleforth was designed to overcome some of the shortcomings held by assets in the cryptocurrency market, namely their volatile nature. The network’s use of a price-supply equilibrium algorithm is unique, taking into account both supply and price to reach an equilibrium that changes a holder’s supply, but not the price of the token.

While this may suggest that Amples are stablecoins and remain stable in value, they are indeed not. Ampleforth’s whitepaper covers how new baselines in token prices are reached over a period of time. The essence of this idea is that the supply of Ampleforth tokens contract or expand according to demand. The team states that this applies countercyclical pressure and keeps the price stable for long runs.

However, Ampleforth’s resistance to volatility is only one of the positive outcomes from its technical architecture, which the team states will also support medium and long term uses of acting as reserve collateral in decentralized banks and act as an alternative to central bank money, in addition to the short term use as a synthetic commodity digital asset.

Many of the project’s team members are former employees of some of Silicon Valley’s biggest companies, including Google and Uber, and graduates from Yale and Berkeley.

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