These are all really good questions and for some reason I never got a notification of your reply above. I will answer below but if you want to dig deeper feel free to dm me and we can discuss there for ease of communication The bonding curve will be using a beta of 0.15. To put this into perspective beta of 0 means pETH trades lock step with ETH with no additional volatility. With a beta of 0.15 each doubling of the ETH denominated TVL results in a 10% price move of ETH/pETH. This means that if the curve has 5,000 ETH, for pETH to increase 10% in price the curve must consume another 5,380 ETH. This is true across all sizes of the curve. So if there is 50,000 ETH in the bonding curve, an additional 53,800 ETH need to move the pETH price 10% higher. Now thinking of a whale manipulating the pETH price hunting minters. Assuming the figures on the current testnet bonding curve a whale would need to sell 28.96% of the ENTIRE pETH supply to move the price down 5%. They are also required to buy this pETH to begin with, which will push the dynamic swap fee up to its 1% upper bound, pushing pETH yield to pAsset minters as they do it (they also make their pETH worth more as they buy). Then as they sell they hit the 1% fee bound on the sell and continue to drive yield to pAsset minters from the selling. Roughly the pETH price is impacted 88% by the ETH/USD price and then 12% by the bonding curve inflow/outflow. Using just ETH as the collateral token has been tried before, by both Maker (DAI) and Liquity (LUSD). It has also been attempted many times to use LST's as collateral and all have failed to reach any meaningful scale due to inherent issues with using ETH and LST's as collateral. They are not scalable and they rely on borrowers to continually increase demand by borrowing. There is no way to tie demand for the stablecoin to its growth without borrowers continuing to borrow. What pETH enables is: - Scalable collateral that grows with adoption of the protocol and becomes safer over time - Allows for the first ever decentralised ETH based PSM that allows for permissionless minting and redemptions for peg stability - First ever peg driven dynamic interest rate for a stablecoin - A low risk passive ETH yield from the floor price represented as fpETH that will be a genuine alternative to ETH staking - The ability to over collateralise low yielding tokens such as gold - The ability to offer negative interest rates due to the ability to incentivise asset minters in pETH on their collateral - Many, many other unlocks For us, the risk of a slight volatility vs ETH is well and truely worth the reward for all users of the protocol...including minters