Introduction Decentralized, Composable, Dynamic Rebase and Fractional Reserve Overview Inspired by Empty Set Finance and its predecessors, Empty Set Crypto Protocol builds stablecoins that serve as the reserve currency of Decentralized Finance. ESC is an algorithmic token pegged to CRO running on the Cronos network. The key insight around Empty Set Crypto is that stablecoin pegs are ultimately determined by market demand and supply forces and that creating incentive mechanisms around this is key. To meet the optimal market demand, ESC’s total supply can either expand or contract. These mechanisms are mandatory in order to counteract the scenarios of having ESC trading above or below 1 CRO. Features Using a variety of mechanisms, Empty Set Crypto is able to achieve a number of unique properties: Dynamic Rebase ESC uses Dynamic Rebase Algorithm with supply to keep price pegged to CRO. When TWAP > 1 CRO (expansion phase), more ESC is minted. When TWAP < 1 CRO (contraction phase), new coupons (debt) with premium are generated. Fractional Reserve Protocol stores part of the expansion fund as a reserve treasury. Fractional Reserve helps protocol fastback on the expansion track from the contraction phase. Composable ESC follows the CRC-20 token standard. This makes it work seamlessly across the decentralized finance infrastructure and reduces the likelihood of unforeseen bugs in integrated protocols. Decentralized When the Empty Set Crypto protocol works stable, the team will make the protocol be completely decentralized on-chain governance. Additionally, the protocol launched with 0 initial supply and no pre-mine for the anonymous founding team.