Alice

Alice (AIus) is an autonomous DeFi token built on the Stellar network that uses non-correlated assets in order to achieve stable returns for the Stellar Drones.

Alice is able to provide consistent returns through two mechanisms, the use of a portfolio of non-correlated assets, and an automated system for deflationary compounding.

Non-Correlated Assets are assets that do not move in the same direction as one another. This means that if one asset in the portfolio decreases in value, it is likely that another asset in the portfolio will increase in value, which can help to balance out the overall portfolio and minimize risk.

Deflationary Compounding is a method of organizing a currency or financial asset in a way that reduces the supply of the currency over time. You can read more about it below.

Alice is completely automated in the process of hedging her portfolio of non-correlated assets using non-negotiable rules for deflationary compounding in order to provide returns over longer time horizons.

Central to the function of Alice is the XY Axis, built by Siemens to amass his staggering wealth. This is a completely automated volatility filter that channels trades through its deflationary compounding system.

One way to understand deflationary compounding is to think of it as the opposite of traditional compounding, which involves the gradual growth of an asset or currency through the accumulation of interest or other forms of value. In a deflationary compounding system, the supply of the currency is reduced over time, which can lead to an increase in the value of the remaining tokens.

The potential benefit to using deflationary compounding is that it can help to stabilize the value of the currency, as the decreasing supply may lead to an increase in demand. This can make the currency more attractive to token holders, as it may be seen as a more reliable store of value. Additionally, deflationary compounding can incentivize early adopters and users of the currency, as they may stand to benefit from the increase in value that occurs as the supply decreases.

The deflationary compounding system maintained by Alice works by continuously rebalancing her portfolio of two separate assets, X & Y, while also permanently removing both X & Y tokens from circulation.

Alice is a decentralized, open and permissionless system, meaning that she is not controlled by any single entity. Instead, Alice is a system of non-negotiable rules for deflationary compounding that are secured by the Stellar network. Alice has been built on the Stellar network which validates the transactions, while ensuring the integrity of the orders and the liquidity that has been permanently locked in place.