Ampleforth is @basisprotocol that actually had the balls to launch. I predict the coin will end the same way, in non-existence.

A scheme that restricts supply to jack up the price assumes demand and ignores that fact that sometimes there’s nobody who wants to buy. The only thing needed to wreck an algorithmic stablecoin is an absence of buyers.

“Market dynamics are not based merely on demand... but also supply”

Really earthshaking stuff from team Ampleforth

Here’s my piece on Basis from ~three years ago btw.

Six months after I wrote it, the Basis team raised $100mm+ from Bain, GV and Andreessen if memory serves.

Six months after that they closed down without much explanation.

Chirp. https://prestonbyrne.com/2017/10/13/basecoin-bitshares-2-electric-boogaloo/amp/">https://prestonbyrne.com/2017/10/1...

“They shut down for US regulatory reasons” I understood to mean “we realized our marketing was wrong and the scheme couldn’t work under any circumstances.”

If it could have worked they would have gone offshore. They didn’t.

https://twitter.com/kaonashicrypto/status/1287442398021332992?s=21">https://twitter.com/kaonashic... https://twitter.com/kaonashicrypto/status/1287442398021332992">https://twitter.com/kaonashic...

I almost would have preferred for Basis to say “this algo coin idea is unworkable. We were wrong. Please don’t try to repeat it.”

They didn’t because that would, I suspect, be a little embarrassing. It would have done everyone such a favor.