An elastic supply (or rebase) token works in a way that the circulating supply expands or contracts due to changes in token price. This increase or decrease in supply works with a mechanism called re-basing. When a rebase occurs, the supply of the token is increased or decreased algorithmically, based on the current price of each token. In some ways, elastic supply tokens can be paralleled with stable coins. They aim to achieve a target price, and these re-base mechanics facilitate that. However, the key difference is that rebasing tokens aim to achieve it with a changing (elastic) supply. FLOKINOMICS differs by having an increasing peg price, an upcoming. Supply-elastic tokens work differently. As mentioned, the re-basing mechanism adjusts the token circulating supply periodically. Let’s say we have an elastic supply token that aims to achieve a value of 1 USD. If the price is above 1 USD, the re-base increases the current supply, reducing the value of each token. Conversely, if the price is below 1 USD, the re-base will decrease the supply,making each token worth more.
As I understand you introduced algorithmic stablecoins. Actually, it is a daunting task to create such tokens, but they are much better than ordinary ones (USDT and USDC) as they don't require collateral and they are more decentralized. There were attempts of making up algorithmic stablecoins with the way of working that you described, but I can't say that they were very successful as everything goes well until there is a panic on the market.