The integration will provide blockchain users with access to the algorithmic language AMPL for stabilised contract interaction.
Fragments Inc., the company behind the Ampleforth protocol, has announced that it will be integrated into the popular blockchain Avalanche to facilitate the introduction of AMPL, a fully decentralised unit-of-account that can be used to denominate stable contracts.
The Ampleforth protocol has the potential to be a decentralised alternative to stablecoins that can be used in core DeFi functions such as lending, borrowing, and the deployment of on-chain derivatives.
In contrast to the traditional method of price-tracked volatility, Ampleforth's rebasing mechanism of daily adjusted supply levels enables the metric measurement of price value for users' token accumulation. These systemic rules are then encoded as smart contracts on Ethereum.
For example, if a user makes a speculative prediction that Bitcoin (BTC) will reach $100,000 by the end of the year and it is correct, they will be awarded 5 AMPL tokens. If the leading asset fails to meet the stated target, five tokens will be deducted. In this sense, as the AMPL ecosystem expands, the user gains access to more tokens, and vice versa.
AMPL could pose an alternative challenger to the tired stablecoin model by establishing dependable consistency in price levels and fluidity in supply mechanics while being a non-governed decentralised model.
In late December 2018, the Fragment protocol rebranded itself as Ampleforth. The title was inspired by a poetic character in George Orwell's classic novel 1984 who works in the Ministry of Truth.
According to Cointelegraph Markets Pro and TradingView data, Avalanche's native token, AVAX, has experienced bullish momentum over the last seven days, rising 28 percent to $71.30.
According to DeFi Llama technical data, the blockchain network hosts 52 decentralised protocols totaling $8.62 billion in total value locked (TVL), with Trader Joe accounting for 30% of its market share.
