CPIT is a price-stable cryptocurrency.
CPIT will adjust its token supply through protocol algorithms based on changes in the token exchange rate (such as the CPIT-to-US Dollar exchange rate). This method of monetary policy implementation is similar to what central banks around the world use today, with the difference being that CPIT is decentralized, strictly follows protocol algorithms, and does not require human intervention. For these reasons, CPIT can be understood as an algorithmic protocol based on central bank policies.
Price stability is achieved through three mechanisms: adaptive speculators, a stablecoin pool containing multiple assets, and the CPIT supply algorithm protocol.
CPIT is a global currency for the post-US Dollar era. In the future, CPIT will move away from the US Dollar and instead peg to the Consumer Price Index (CPI) or a basket of goods. When food and oil are priced in CPIT, it will be widely used as a medium of exchange and could even begin to replace the US Dollar in terms of transaction volume. CPIT will demonstrate its technology and opportunity to the world: developing an independent, transparent, and more stable and promising monetary policy than any central banks monetary policy.
CPIT requires three phases to become a global currency:
Issuing CPIT using sidechain technology.
Pegging to the US Dollar initially as a guide, opening APIs to exchanges to enter the stabilization phase.
Determining the exchange rate through a Schelling point mechanism to peg to CPI or a basket of goods, moving away from fiat currency pegging.