RebaseTokens101

🔄 #RebaseTokens101: Tokens that change in quantity but not in value.

Have you heard of tokens that change their balance on their own?
This is a rebase token — a curious and advanced concept in the crypto world.

📌 What is a rebase token?
🔹 A token whose supply is automatically adjusted
🔹 The idea is to keep the price stable by adjusting the amount each user has
🔹 Your balance can increase or decrease without changing the total value of your position

💡 Classic example:
🔸 The AMPL token (Ampleforth)
🔸 If the price rises above $1, your balance increases
🔸 If it falls below $1, the protocol reduces your balance
🔸 All of this occurs proportionally and automatically

⚠️ Cautions:
❌ Confuses many beginner users
❌ It may seem like “you gained tokens,” but the real value doesn't change
❌ Rarely accepted outside the original protocol

✅ Advantages:
✔️ Experimentation with new economic models
✔️ Encouragement of stability without using collateral
✔️ Use cases in algorithmic stablecoins

➡️ Rebase tokens are like balloons: they change shape but try to maintain the same weight.

#RebaseTokens101 #Tokenomics