Amply Finance
  • Introduction to Amply
    • What is Amply Finance?
    • Why Amply Finance?
    • How does Amply Finance Work?
  • Tokenomics
    • Tokenomics Details
    • preAMP Conversion Scheme
    • AMPLY Token Offering
  • Using Amply Finance
    • How to use Amply Finance
    • Supplying Tokens
    • Borrowing Assets
    • Repaying Loans
    • Withdrawing Assets
    • Claiming $AMPLY Rewards
    • Staking AMPLY
      • Withdrawing AMPLY
      • Upgrade AMPLY
      • Claim AMPLY rewards
    • Converting preAMP to AMPLY
    • Claiming vETH and vUSD Rewards
  • Efficiency Mode
    • Activating eMode
    • Using Collateral and Borrowing Tokens in eMode
    • Repaying Debt and Withdrawing Collateral in eMode
    • Deactivating eMode
  • Interest Rate Model
    • Borrow interest rate
    • Supply rate
  • Health Factor and Loan-to-Value Ratio (LTV)
  • Liquidations
    • Liquidation Simulator
  • Yield Opportunity
  • Yield Matrix
    • Using the Yield Matrix
  • Asset Listings and Risk Management
    • Asset Listing Criteria
    • Supported Assets and Parameters
  • Information
    • Smart Contract Addresses
    • Paymaster
    • Amply Finance Terminology
    • Contact Us
    • Brand Assets
    • Audits
    • Risk Disclosure
    • AMA Transcript
Powered by GitBook
On this page
  • Understanding aTokens and Debt Tokens
  • Health Factor
  • Reserve Factor
  • Supply Caps
  • Borrow Caps
  • Net Weighted APR
  1. Information

Amply Finance Terminology

Understanding aTokens and Debt Tokens

  • aTokens: As mentioned earlier, aTokens represent your share of a lending pool and any accrued interest on your deposited crypto asset. As you earn interest, your aToken balance will increase over time. They are tradable and can be used in DeFi applications that integrate with Amply. aTokens will be burnt when you withdraw your assets.

  • Debt Tokens: When you borrow an asset on Amply, you receive a corresponding debt token representing your outstanding loan obligation. This includes the principal borrowed amount and any accrued interest. Debt tokens are not tradable. These debt tokens will be burnt upon repayment of your debt.

Health Factor

The Health Factor (HF) represents the health of your debt position - the higher the value, the safer your position is from getting liquidated. A health factor above 1 means that you are not yet at the point of getting liquidated. However, it is typically recommended to maintain a HF of above 3 in order to lower your chances of getting liquidated.

HF = SUM[(Collateral USD * liquidation threshold)] / SUM(debt USD)

If HF < 1; a liquidation will be triggered

Reserve Factor

Amply sets aside a Reserve Factor - a percentage of interest that is to be allocated to the ecosystem treasury. A riskier asset typically has a higher reserve factor.

Supply Caps

A supply cap is the maximum amount of an asset which can be supplied to the protocol. This parameter limits Amply’s exposure to a potentially risky asset. When a token’s supply cap is hit, you will be unable to deposit more of that asset.

Borrow Caps

A borrow cap is the maximum amount of an asset which can be borrowed. This parameter can be used to prevent heavy borrowing of an asset in order to conduct a price exploit.

Net Weighted APR

Net APY is the weighted interest rate from supply and borrow positions, including incentives. Net APY may be negative if debt is higher than supply APY

Net Weighted APR = [sum(USD supplied * net supply APY) - sum(USD borrowed * net borrow APY)] / sum(USD supplied)

PreviousPaymasterNextContact Us

Last updated 9 months ago