Do Rebase Tokens Have a Maximum Supply?
Rebase tokens do not have a maximum supply in the traditional sense. Because the supply is constantly adjusting, there is no fixed cap on the number of tokens that can be in circulation.
However, this does not mean that the supply can increase indefinitely. The rebase mechanism is designed to keep the supply in check and maintain the target price.
The total value of the network is what matters, not the number of tokens.
Glossar
Maximum Supply
Scarcity ⎊ Maximum supply, within cryptocurrency, defines the finite quantity of a digital asset that will ever exist, fundamentally influencing its potential value proposition through constrained availability.
Rebase Tokens
Mechanism ⎊ Rebase tokens represent a unique class of cryptocurrency designed with a dynamic supply, adjusting the number of tokens in each wallet based on algorithmic rules or external factors, differing fundamentally from tokens with fixed maximum supplies.
Elastic Supply
Supply ⎊ The concept of elastic supply, within cryptocurrency derivatives and financial engineering, describes a responsiveness of the available asset quantity to price fluctuations.
Rebase Mechanism
Mechanism ⎊ A supply adjustment technique where the total number of outstanding tokens is proportionally altered across all holders based on a predetermined algorithmic rule set.