Monday, November 29, 2021
HomeDeFi NewsDeFi Darling Ampleforth Crashes as Unique Feature Burns Traders

DeFi Darling Ampleforth Crashes as Unique Feature Burns Traders

After an epic rally in June and July, the grim reality has now dawned on traders trying to profit from moves in ampleforth (AMPL), as a unique feature of the hyped DeFi (decentralized finance) protocol is burning traders who didn’t pay attention to crucial details in the coin’s technical design.

As of press time (10:48 UTC), the price of AMPL was down by 51% over the past 24 hours, trading at USD 0.73. However, the price is still up from its daily lows of USD 0.63. AMPL is also down by almost 60% in a week and a month.

AMPL price chart:

AMPL originally launched as a type of a stablecoin alternative in 2019, and aims to algorithmically stabilize purchasing power through a fluctuating monetary supply in a process known as “rebasing,” which appears to be what is burning many traders at the moment.

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