Ampleforth Update — We are Speeding up Supply Adjustments.

Evan Kuo
Evan Kuo
Oct 23, 2019 · 2 min read

Thanks to Brandon Iles for your help with this post.

“I feel the need — the need for speed!” — Peter ”Maverick” Mitchell (and turtles in general)

Quick Summary

  • The rebase_reaction_lag value will change from 30 to: 10
  • The daily rebase time will change from 8PM UTC to: 2AM UTC

This update will take place on: 10/30/2019

1. Amples will be faster

If the price exchange rate differs from the price target by X%, the protocol automatically adjusts supply by (X/rebase_reaction_lag)%

This rebase_reaction_lag is an adjustable hyperparameter that was initialized at the time of launch, and its value determines how sensitive the protocol’s supply policy is to changes in price.

HIGH values make the protocol react SLOWLY to price LOW values make the protocol react QUICKLY to price

At the time of launch we knew the system would need some amount of smoothing to prevent overcorrection, but having never seen an asset like the AMPL token in any live market — we simply needed to begin with a value that didn’t feel too high or too low.

Now that daily rebases have been executing smoothly and we’ve had the opportunity to observe the market’s response, it’s time to make an adjustment.

Although the current rate of supply response is fast by the standards of any central bank, it is excruciatingly slow by the standards of today’s fast moving cryptocurrency markets.

As a result, it takes far too long for the network to discover and achieve price-supply equilibria. So we’re going to speed things up. Specifically, we are updating the rebase_reaction_lag value from 30 to 10.

2. Rebase will occur at a new time

Most data providers aggregate 24hr average prices from midnight-to-midnight. By aligning our operations to this same schedule, we increase the number of aggregators that can be utilized by our oracle system.

This unlocks more providers without requiring integration work to support rolling-window averages.

Sequence of events:

  • The last rebase at the old time will occur on Tue Oct 29th at 8PM UTC
  • 30 hours will pass
  • The first rebase at the new time will occur on Thu Oct 31st at 2AM UTC

Thanks for tuning in,

Evan Kuo — Ampleforth (co-founder)

Twitter: https://twitter.com/evankuo

Telegram: https://t.me/Ampleforth

Website: www.ampleforth.org

Email: info@ampleforth.org

Ampleforth Blog

ampleforth.org

Ampleforth Blog

AMPL is a cryptocurrency and financial building-block. Much like Bitcoin, it is algorithmic and uncollateralized. However unlike Bitcoin, AMPL can be used to denominate stable contracts.

Evan Kuo

Written by

Evan Kuo

Ampleforth Blog

AMPL is a cryptocurrency and financial building-block. Much like Bitcoin, it is algorithmic and uncollateralized. However unlike Bitcoin, AMPL can be used to denominate stable contracts.