Amnis Finance (AMI) Is Revolutionizing the Aptos Ecosystem by Unlocking the Full Potential of the APT Token Through Liquid Staking

The popularity of liquid staking has continued to grow in the web3 space, especially among decentralized finance (DeFi) enthusiasts

The popularity of liquid staking has continued to grow in the web3 space, especially among decentralized finance (DeFi) enthusiasts passionate about exploring the endless opportunities in the crypto market.

Unlike traditional staking, through which your assets are locked for a fixed period and can’t be used for other purposes, liquid staking solutions offer the flexibility to channel your staked assets to yield-generating ventures while preserving liquidity.

One such platform is Amnis Finance, which provides investors with yield-bearing tokens to leverage DeFi opportunities.

Key Takeaways:

Amnis Finance is a pioneering liquid staking protocol on the Aptos blockchain whose users can explore DeFi opportunities without unlocking their staked tokens.

Amnis applies a dual token model consisting of amAPT and stAPT tokens to leverage DeFi activities, such as lending and farming.

AMI is the native token for Amnis Finance. It’s available on Bybit’s spot trading platform (AMI/USDT).

What is Amnis Finance?

Amnis Finance is a liquid staking platform on the Aptos blockchain whose users can stake their APT tokens and earn rewards through DeFi activities, such as lending, borrowing and providing liquidity.

Offering a staking APR of 8.02%, Amnis is exclusive to Aptos, a Layer 1 blockchain with superior technology known as Move, designed for scalability, security and low-cost transactions.

Through Amnis, those who hold APT (the native token for the Aptos network) can stake their tokens and receive tokens of equivalent value, which they can now use for trading and investing opportunities without unstaking their locked tokens.

Furthermore, Amnis has created new financial instruments that are attractive to institutional investors. These instruments use a yield tokenization concept that splits tokens into yield-bearing and principal tokens.

How does Amnis Finance work?

At the heart of Amnis Finance’s operations is an innovative staking structure designed to provide the involved parties with efficient and flexible investing. Amnis system is powered by smart contracts that enable APT token holders to effortlessly maximize returns without having to lock their capital or run a validator’s node.

The basic architecture of Amnis is composed of the following components:

Dual token model — Consists of amAPT and stAPT tokens (more on this below)

Whitelisted validator nodes — These validator nodes facilitate deposits and withdrawals of APT

Performance score — Calculated on the whitelisted validator nodes to optimize the rewards that are generated

Rewards issuance — Issued every two hours as the network generates rewards

Once a user sends APT tokens to the smart contract, it issues amAPT. The user can then use these tokens to participate in the Aptos DeFi ecosystem, or stake them on Amnis to receive stAPT tokens and generate rewards.

Source: Amnis Finance

Amnis Aptos coin (amAPT)

amAPT (Amnis Aptos coin) acts as a liquid staking derivative, maintaining a 1:1 peg with APT. Users who stake their APT tokens through Amnis Finance receive an equivalent amount of amAPT, which can be utilized across various DeFi platforms without forfeiting staking rewards. This design ensures that users retain flexibility and can engage in activities such as lending, borrowing and liquidity provision, while their assets continue to generate staking yields.

You can use amAPT to:

Stake amAPT to receive stAPT and earn a current 8.05% APR on Amnis

Add liquidity to networks, such as PancakeSwap and Liquidswap

Lend on platforms, such as Echelon and Aries Markets

Participate in yield farming within the Aptos ecosystem

Amnis Finance also offers an amAPT/APT liquidity pool that allows investors to instantly withdraw their amAPT tokens. This convenient withdrawal feature helps them bypass the 14-day waiting period common with traditional staking.

Amnis Finance has established a reserve mechanism to ensure price stabilization in case of market surges. When necessary, the platform may buy back amAPT, and the profits are transferred to the Amnis treasury.

Amnis Staked Aptos coin (stAPT)

For users seeking to maximize their staking returns, stAPT offers an auto-compounding yield-bearing option. By depositing amAPT into the stAPT vault, users receive stAPT tokens that represent their share in the staking pool.

As staking rewards accumulate, the value of stAPT increases proportionately, eliminating the need for manual restaking and providing a seamless way to enhance staking yields over time.

Beyond its dual-token model, Amnis Finance introduces an innovative approach to yield optimization through yield tokenization. This process involves wrapping yield-bearing assets (such as stAPT) into standardized yield tokens (SY), which are then divided into principal tokens (PT) and yield tokens (YT).

The PT token represents the original value of the staked asset, and can be redeemed at a 1:1 ratio upon maturity, while YT signifies the portion of interest generated over time. This segmentation allows users to tailor their investment strategies by separately managing principal and yield components, offering greater control and flexibility in