Coding a Solidity rebase token

A “rebase token” (sometimes “rebasing token”) is an ERC-20 token where the total supply, and the balances of token holders, can change without transfers, minting, or burning.

DeFi protocols often use rebasing tokens to track the amount of asset it owes to a depositor — including profit the protocol made. For example, if the protocol owes a depositor 10 ETH (including profit), the depositor’s ERC-20 balance for the rebasing token would be 10e18. If their deposit increased in value to 11 ETH, their balance would “rebase” to 11e18.

This article explains how to code rebasing token, as well as the logic behind the code.

We also cover potential security issues that may come up when creating a rebasing token.

Read the full article here:

Link: https://www.rareskills.io/post/rebase-token