Polkindex

Polkindex is a derivative token whose price is pegged to the average price of selected cryptocurrencies in the Polkadot ecosystem. Polkindex gives investors the ability to gain exposure to the Polkadot ecosystem, and it’s expected growth without having to hold multiple tokens. $PIDX is a derivative designed to reflect the market performance of it’s underlying asset, the Polkadot Index. $PIDX is built using an elastic supply protocol which contractually either expands or contracts its token supply to achieve its target price. When the $PIDX token price is out of sync with its target price, the token supply is adjusted until equilibrium has returned. If the price of $PIDX is above its target price, the token supply will expand to a level at which equilibrium should be reached. If the price of $PIDX is below its target price, the token supply with contract to a level at which equilibrium should be reached. Both an expansion or contraction of the token supply is known as a Rebase. Rebasing contains a lag factor. The Rebase Lag Factor helps to smooth changes in supply. A lower Lag Factor means faster adjustments. The lag factor is set to a factor of 10.