BitBay

A brief background

Launched 2014, BitBay has been building (quietly) a feature-rich platform for global p2p commerce. Its native coin, BAY, provides utility from 3 primary elements: a P2P marketplace, double deposit escrow contracts, and a dynamic currency peg. Its marketplace and smart contracts have been up and running since 2015 (before Ethereum) while its dynamic peg currently being integrated into 3 new exchanges. The platform also includes a web-based marketplace (currently in beta), which provides users with easy access without having to download the entire blockchain.

As a “community takeover project” with little/no working capital, BitBay has established a massively functional platform for enforcing agreements without third-parties.

Their dynamic peg is 100% coded, tested, and set to launch soon.

Dynamic Peg Design

Built upon a 5-year old proprietary blockchain, BitBay’s dynamic peg represents a highly decentralized and non-collateralized method of monetary policy. Through 7 voting sessions per day, stakers are able to collectively change the liquidity of BAY.

In contrast to Ampleforth (and other common minting/burning systems), BitBay’s dynamic peg doesn’t add or destroy actual units or coins. It simply changes the speed in which they can be spent in order to put pressure on liquidity within exchange order books.

Ampleforth

A brief background

Despite being a fairly new project, Ampleforth has quickly made itself known within the crypto space this year. The team released a whitepaper in early 2019, and raised 4.9 million USD within the first 5 seconds of its IEO. Being built on the Ethereum platform with a native ERC20 token, Ampleforth contracts have already been posted on github. The team is has finished their testnet phase and the protocol was recently deployed live on Bitfinex.

Elastic Supply Design

Ampleforth’s model uses an “elastic supply” in order to control wild price fluctuations commonly seen in other small-cap currencies. Through a sequential “rebasement”, the total supply of AMPL tokens is either increased or decreased (affecting every user’s wallet balance) until a perceived price target is met. With this change in balance, users have a temporary window to arbitrage the price difference, hopefully bringing it back to the target level.