AMP Token
Overview of the AMP governance token
AMP Token
AMP is the governance token of Amped Finance, designed to align the interests of traders, liquidity providers, and platform stakeholders.
Token Utility
AMP tokens serve multiple purposes in the ecosystem:
Governance Rights
AMP is fundamentally a governance token, conferring holders the ability to influence the direction of the platform. AMP holders can vote on proposals or parameter changes, such as adjusting fee distribution percentages, onboarding new collateral assets into ALP, modifying leverage limits, or initiating partnerships and upgrades. Amped plans to transition into a more community-driven DAO structure where significant changes are decided through on-chain governance votes by AMP stakeholders.
Reward Distribution
One of the primary utilities of AMP is staking. Users can stake their AMP tokens in the protocol to participate in the platform and provide liquidity to support swaps of digital assets. AMP stakers receive rewards in the form of:
- Platform Fee Rewards: AMP stakers receive rewards from the pool that contains a variety of network base currencies, funded by swap fees, leverage trading fees, and other protocol revenues.
- Escrowed AMP (esAMP): Qualifying stakers who have fulfilled engagement criteria are granted escrowed AMP tokens as a loyalty reward. esAMP vests over time and incentivizes long-term participation.
Liquidity Incentives and ALP Integration
Liquidity providers (ALP holders) also benefit from the AMP tokenomics. ALP stakers receive a portion of fees and earn esAMP rewards, creating a pipeline where LPs eventually become vested AMP holders, further aligning LP incentives with the long-term governance and success of Amped.
Additional Utility
Beyond governance and staking, AMP provides additional benefits within the Amped ecosystem:
- Fee Discounts: Potential reduced trading fees or improved referral rates for AMP holders
- Access to Features: Gated access to advanced features, higher leverage tiers, or early access to new chain deployments
- Activity Rewards: Contributors who provide valuable services to the ecosystem and stake AMP may receive rewards from the platform’s fee-funded reward pool
Learn More
For comprehensive details about AMP tokenomics, distribution, and the complete technical specifications, please refer to our Whitepaper.