Flexible supply refers to a supply model in which the total number of tokens or coins can be adjusted based on demand, market conditions, or predefined rules. This contrasts with fixed supply systems, like Bitcoin, where a maximum cap is set.In a flexible supply model, the issuance of new coins can be increased or decreased to stabilize prices and encourage usage. This adaptability can help maintain a healthy ecosystem, and it may prevent drastic price fluctuations caused by supply shortages or excess.Various mechanisms are used to implement flexible supply, such as inflationary models, where new coins are created over time, or deflationary measures, where coins can be burned or removed from circulation. These approaches aim to strike a balance between providing enough tokens for transactions while preserving the currency’s value.Ultimately, flexible supply allows for more responsiveness to market dynamics, offering potential benefits for users and investors alike. However, it also introduces complexities regarding trust and predictability, which can influence perceptions of stability and value.