Stability system in the protocol deterministically expands and contracts the PDD supply to maintain PDD's peg to 1 MATIC token. So in short the ideal balance is the target of 1 PDD to be peged to 1 MATIC.
PolyDogeDAO is designed by the PolyDoge team as the algorithmic stablecoin which specifically uses an “algorithmic central protocol” approach to manage the supply of PolyDogeDollar tokens according to a predetermined logic.
The algorithm is in charge of balancing PolyDogeDollar supply to a fluctuating demand, ensuring that the token price remains relatively stable.
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