Asymmetry Finance’s afUSD synthetic dollar is based on Ampleforth’s supply adjustment mechanism, which stabilizes prices through elastic supply.
The United States dollar is exhibiting strong performance in 2024, as is the market for digital assets tied to the currency. Ethena’s synthetic dollar, USDe, has a market capitalization of nearly $3.4 billion, drawing rivals searching for a share of the global stablecoin market.
The latest initiative to join this race is Asymmetry Finance. Through a partnership with Ampleforth and Paid Network, the company is launching the fully onchain synthetic dollar afUSD, with an elastic supply based on market conditions.
The algorithmic stablecoin uses Ampleforth’s adjustment mechanism, which manipulates a token supply toward a certain price. According to Asymmetry, the system is more secure and scalable than similar products, such as Ethena’s USDe.
