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Algorithmic stablecoin 1.0 (previous generation algorithmic stablecoin)

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Algorithmic Stablecoin 2.0

How to understand it?

How to understand it?

Taking the Basiscash project as an example, there are three coins in the system, basis cash (bac), basis share (bas), and basis bond (bad).

Explain these English nouns:

• Cash in Basis cash is cash, and it is also a stable currency in the system. It is anchored to 1 US dollar, which can be understood as "currency" or "cash";

• The share in basis share is translated as "shares". The person who holds bas is the shareholder (shareholder), and the shareholder must pay dividends;

• basis bond (bad or directly called bond), translated as "bond", is a bond that must be repaid.

In the following, cash, bond, and share are sometimes used instead directly.

Understand the basic meaning of the above terms, it is easy to understand the entire economic system.

The anchor price of bac is US$1, and the current price is higher than US$1, which will cause inflation. The inflation logic is the same as the rebase of the algorithmic stablecoin 1.0. However, the currency produced by inflation is not given to the holders of bac, but to shareholders. This is similar to dividends for shareholders. The dividend ratio is divided according to the proportion of shares. ), you currently have a bas of 1 million US dollars, which is equivalent to 1% of the shares. Then, the inflation currency will be given to the bas holder according to the shareholding ratio.

The calculation method of basis bond (bond) is based on the square of bac (currency). For example, bac is already 0.9 US dollars. At this time, the predicted price will return to 1 US dollar. You can invest in bonds (basisbond). What price? 0.9^2=0.81 US dollars, after buying, you can redeem 1:1 at any time when the basis cash increases by more than 1 US dollar, assuming that it returns to 1 US dollar, at this time, the income of your basis bond is 1-0.81=0.19 US dollars .

It can be seen that this system is very interesting, with a sense of separation of powers, stable currency (currency), bonds, and shareholders. This is an improvement in the governance structure compared to the algorithmic stablecoin 1.0.

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How to play Basisgold

This project has just been launched for three days. It is the first algorithmic stablecoin project of the Heco (Huobi Ecological Chain) ecological project. Compared with the official website of basiccash, the mechanism is basically the same.

Comparing with the above understanding, basis gold (BAG) is cash or currency-anchored stable currency, basis gold share (BAGS) is a share, and basis gold bond (BAGD) is a bond.

The current price is 447.931 US dollars, corresponding to the above, you should be able to calculate the price of the bond. The square of 447 is equal to 200642.1808 (consistent with the data in the picture).

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single coin

Single currency zero roll means that you can directly mine USDT or other coins you want to hold for a long time in the pool to obtain tokens. There is no loss of your own coins, but you can get coins that may have a good price.https://basisgold.cc/#/bank

These pools for single currency mining are pretty good. More detailed configuration methods can be found online.

Let me just talk about metamask custom RPC configuration information:

Finally, all algorithmic stablecoins have not yet reached the stage of real use of stablecoins, that is, they are unstable. Therefore, there is no small risk in investing in algorithmic stablecoins. Investment methods vary from person to person, such as intraday trading, long-term holding, etc. Single currency mining is a good choice, and the income may not be the highest, but it is indeed the most stable profit method.