Executive Summary
Amplified Finance is a protocol that creates Liquid Restaking Tokens (LRTs) which function as structured products built on top of existing Liquid Re/Staking Tokens (LSTs/LRTs) and DeFi primitives. Here's how it works:
The Core Function:
The protocol accepts blue-chip LSTs (like ETH, stETH, rETH, wBTC, USDC, USDT e.g.) as collateral
These assets are deployed across multiple yield-generating strategies to create structured products in the form of LRTs (aiETH, aiBTC, aiUSD)
The underlying collateral is put to work through:
Automated market making and liquidity provision across DEXs
Position management in lending markets and yield protocols
Future integrations enabling derivative positions management as liquidity improves on decentralized venues.
The Core Technology:
The protocol leverages three key technological components:
Automated Liquidity Manager: Optimizes liquidity deployment across DEX pools and lending markets to maximize yield generation
AI Agents Swarm: A proprietary system providing 24/7 active management of positions to optimize risk-adjusted returns
Institutional-Grade Risk Management: A comprehensive risk management stack monitoring position health, market conditions, and protocol exposure in real-time to ensure portfolio stability and risk mitigation
The End Product:
Users receive Amplified's LRTs (aiETH, aiBTC, aiUSD) which represent structured products
These LRTs are backed by actively managed positions in underlying LSTs and DeFi protocols
The protocol aims to generate enhanced yields compared to standard LST holdings by leveraging multiple DeFi strategies under active management
In essence, Amplified creates structured LRT products that optimize yield generation from LST collateral through AI-driven DeFi strategy execution and active position management, while maintaining institutional-grade risk controls.
Last updated