What’s in store for Plutus Capital in 2021
Look forward to smart contract upgrades & a new rebasing feature.
As we round up the year 2020, the Plutus Capital team is already working on new developments for 2021. So as to improve the user experience on our lending platform and transactions of the Plutus token.
Token Chain Upgrades
Our community of developers is close to completing a revamp of the Plutus chain.
This upgrade will improve the smart contract functionality for faster and smoother PLT transactions on the platform.
New Feature — Rebasing
Together with the improvements to the chain, the team is also working on creating a rebasing mechanism so that the Plutus token becomes price elastic.
If you’re unfamiliar with the concept of rebasing and price-elasticity, here are quick definitions and explanations on how these will affect PLT.
Price-elastic token: The total token supply adjusts automatically on a routine basis.
Rebasing: The token supply adjustment as mentioned.
This means that with a price elastic token, the variable is the token’s supply and not its price.
Rebases happen to ensure that the token’s price is not manipulated by dumps. Rather, a rebase adjusts the balance of tokens in your wallet based on market price.
Thus when price is high, your wallet balance increases to maintain the value of the tokens. When the price is low, likewise your wallet balance is adjusted lower so that the token’s value is not affected.
Rebases thus ensure that your proportional holdings to your tokens aren’t diluted. Thus, if you own 1% of the total supply, you will always own 1%.
Depending on the protocol or platform, rebases can be daily as Ampleforth $AMPL does, or randomised as $RMPL has done.
Benefit of Price Elastic Token
With a rebasing function on the Plutus platform, PLT becomes a price elastic token.
Since rebases ensure that your holdings are reflected proportionally in the number of tokens in your wallet, this incentivises investors to hold their tokens instead of dumping them too soon.
Although price elastic tokens are new in the DeFi space, it is currently a useful way to prevent price manipulations and ensure that traders and investors are able to see growth for their holdings.
Expected Implementation on Plutus Capital
At the moment, our community of developers is in the midst of working on these features and functions. Technical details, developments, and more information will be announced as and when they are confirmed.
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Disclaimer
Before you buy or invest in Plutus tokens, please take the time to understand the rewards model, as well as the risks involved. All decisions that you make on the Plutus platform will be your sole responsibility.
About Plutus Capital
Plutus Capital is backed by a FinTech system built on a public blockchain, where an individual can enforce greater control of his own funds. The Plutus blockchain and token rely on the tamper-proof nature of ledger as well as smart contract and validation to ensure all processes are safe and secure.
