The Amph Token🏺
Last updated
Last updated
The $AMPH token is the core governance token of the Amphora Protocol, which we represent with the 🏺 emoji.
Similar to Convex, the Amphora token is only minted when the protocol gains rewards.
In this case the Amphora token is minted each time the protocol earns $CRV or $CVX from the staking rewards module.
To start each 1 $CRV will generate 1 $AMPH token, with that ratio declining each epoch on the same distribution curve as Convex.
There will be a max of 10B Amphora tokens minted over time. However, since Amphora tokens are only generated when the protocl earns $CRV tokens, it is unlikely we will ever reach this full cap. The breakdowns are as follows:
2.25B $AMPH to developer - vested over 3 years
750M $AMPH to development contributor - vested over 3 years
500M $AMPH as a bounties fund.
250M $AMPH to the Synthetix Council to be used as sUSD and SNX staking rewards over 3 years.
6B $AMPH as user rewards.
The amount of $AMPH distributed at each stage of user rewards follows a steep curve defined as:
=1+(((25000/(MAX(TotalAmph,50000000)/(8,000,000)))))-((TotalAmph/8,000,000)/50)
This results in the amount of Amph tokens generated each epoch declining across a smoothing curve:
In short, this means in the first few epochs 1 CRV generated for the treasury will reward 4000 $AMPH tokens. But, by the 23rd epoch it will only reward 1000 $AMPH tokens.
Rather than being defined by time, epochs are defined by the amount of $CRV the treasury has acquired, so that the protocol only pays out when it captures value, instead of on a time dilution.
This results in an exponential increase in the amount of Curve that the protocol has each epoch, allowing it to have a higher vote weight and support a larger liquidity pool over time:
