# Glossary

A glossary of terms commonly used when describing the Ampleforth Ecosystem

### Derivatives

Derivates are a specific type of financial asset whose value depends solely on an underlying financial asset. 

### Stablecoin

Stablecoins are cryptocurrencies designed to be a refuge from volatility. The most common types include fiat collateralized stablecoins, crypto-collateralized stablecoins, and algorithmic stablecoins. Although AMPL has a price target, it should not be considered a stablecoin because holders of the token experience supply volatility comparable to that of a typical floating price token.

### Store of Value

In economics, store of value is a monetary function. A store of value is an asset, commodity, or currency that can be saved, retrieved, and exchanged in the future without deteriorating in value.

### Unit of Account

In economics, unit of account is monetary function. Money acts as a standard measure and a common denomination of trade. It is thus a basis for quoting and bargaining of prices. It is necessary for developing efficient accounting systems. More than a measure, the unit of account is the actual asset tendered upon completion of an agreement. AMPL is a unit-of-account token.