IAMX and the Fibonacci Sequence
The Fibonacci Sequence is a concept that many crypto investors are familiar with, but few understand its importance. At IAMX, the Fibonacci Sequence isn’t just a theory, it’s a model we leverage for price stability and growth.
🧐What is the Fibonacci Sequence?
In the 13th century, Italian mathematician Leonardo De Pisa published Liber Abaci (The Book of Numbers), in which he shared his discovery of the Fibonacci number sequence and how it appears in nature, population growth, and certain disciplines.
The Fibonacci Sequence in its most simple form is a sequence of numbers in which the next number in the sequence is the sum of the two numbers preceding it. So, the Fibonacci Sequence looks like this:
0, 1, 1, 2, 3, 5, 8, 13, 21, 34, 55, 89, 144, 233, 377, 610 …
Additionally, each number in the sequence (with a few exceptions) is roughly 1.618 times greater than the number before it. These values are known as the “golden ratio”, which plays a role in many aspects of nature. For example, the patterns of flower petals are governed by the golden ratio. Lilies have three pedals, buttercups have five, chicory flowers have eight petals, marigolds have thirteen, and daises have 34. Further, each petal is evenly placed at 0.618 per turn (out of a 360-degree circle), allowing for optimal exposure to sunlight and rainwater.
👀How is the Fibonacci Sequence relevant to crypto?
Interestingly, the Fibonacci Sequence can help traders of the stock market, crypto currencies, and other assets analyze price action, because price trends often follow “retracement levels” within the Fibonacci sequence. Retracement levels are hidden levels of support and resistance where a crypto price may potentially reverse from its current direction. Traders use these retracement levels to identify turning points in crypto prices. The four main Fibonacci retracement levels are:
Using crypto technical analysis tools, traders often overlay the four retracement levels over the price trend of a coin or token to identify potential resistance and support levels. While it’s not recommended to use the Fibonacci retracement levels as the only method of analysis, it can play a key role in making smart trading decisions when coupled with other methods.
🚀How does IAMX employ the Fibonacci Sequence?
Beyond price analysis, economists can use the Fibonacci Sequence in their planning and operations to help stabilize the price action of a particular asset including cryptocurrencies. IAMX’s economists use the Fibonacci Sequence within tokenomics planning as a model for stability and growth, and to reward first purchasers of the token. IAMX will issue five token generations that correspond with the first five sequences in the Fibonacci Sequence (1,1,2,3,5). Within each generation, new tokens will be issued and tokens from previous generations will be burned to achieve and maintain the balance between supply and demand — including the demand for tokens used in identity verifications. The IAMX team has developed a strategy to ensure that the value and quantity of tokens in circulation are always appropriate for sustainable growth. They use what they call the “Darwinian quantity equation” alongside the Fibonacci sequence, which guarantees they will never run out or exceed demand with their smart contract functions. Thus, the IAMX token generations aren’t just randomly aligned with the Fibonacci sequences but are done so out of design to ensure a balance between supply and demand through token usage and burning, to maximize price stability.
Additionally, those investors who purchase the Generation 1 tokens through the Private Sale or who receive them through the IAMX ISPO will receive additional tokens whenever the tokens they sell are being used. This is their reward for coming in early. In fact, they will ultimately reap a benefit of 12x their Generation 1 token allotment as the Fibonacci sequences play out over time.
Conclusion
The Fibonacci Sequence is a powerful code that occurs naturally in nature and in many other trends including the price action of an established crypto asset. Beyond using the sequence and its retraction levels as a method for price analysis, the Fibonacci sequence can be used proactively for growth and price stability. IAMX uses the Fibonacci sequence strategically to maximize the stability of the IAMX token price and also to reward first purchasers.
Additional insight into IAMX’s use of the Fibonacci sequence can be found in the IAMX white paper and pitch deck available on our website at iamx.id.
About IAMX
IAMX is a token-based self-sovereign identity (SSI) and authentication system, enabling 1Click-Fulfillment transactions that are legally binding on the state/national level.
Our vision is to empower everyone on Earth to realize their human right to have an identity and our mission is to protect the human right of every individual to hold, control, and own their personal identity.
The Problem We are Solving
In Developing Nations 1.4 billion people have no state-recognized identity. Additionally, half of all women in low-income nations do not have an identity. Further, 237 million children under five years old, have no birth certificate. Without a legally acknowledged identity, a person cannot own assets, maintain a bank account, or participate in online consumer transactions. Without an identity, a person has no access to e-commerce or financial services. In short, without an identity, a person cannot lift themselves out of poverty.
In Developed Nations the average consumer spends 400 days of their life completing forms online. Most of these forms are redundant, asking for the same information about our identities (such as the KYC process) over and over. This leads to a massive waste of time and loss of ownership and security as the individual consumer spreads their personally identifying information across thousands of websites or services during their lifetime.
Solution
Imagine if each individual consumer enjoyed full ownership of their identity and they could use that identity seamlessly and effortlessly across all websites, web services, and mobile apps that require account creation, logins, or authentication. IAMX provides this identity service free to all consumers through biometric identity and pre-authenticated verifiable credential set containers trusted by the verifier, owned and controlled by the holder.
IAMX is the first-ever SSI solution to financially incentivize and reward the consumer each time they use their identity online.
IAMX
Website │ Twitter │ Telegram │ Discord │ Linkedin │ Youtube │ Reddit
