Kelp's Solution: Elastic Crypto Supply
Just like the present stage of monetary policy maturity was not attained overnight, cryptocurrency adoption will not grow at a steady rate, and to ensure longevity, evolution must continue to take place. For one, the supply mechanism, which is inelastically fixed at a predetermined rate, and so unable to adapt, needs to be revisited. The inability to control demand dynamics with resultant volatility, leaves elastic supply as a viable lever for adjustment. In order to target purchasing power stability, cryptocurrencies should be designed using fully automatic algorithms with rules based elastic supply. This is the essence of Kelp’s Monetary Policy strategy and implementation.