Investing In Amp (AMP) – Everything You Need to Know
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Table Of Contents
AMP operates as a decentralized digital collateral system. The goal of the project is to enable developers to provide verifiable assurance for any application or asset transfer. As such, the network employs various proprietary technologies to decentralize the risk of asset transfers for digital and real-world use-case scenarios.
What Problems Does AMP Attempt to Fix?
There are a lot of issues that AMP helps to alleviate in the market. For one, the ability to collateralize asset transfers has long been a desire of developers and users alike. Making asset transfers can be risky if not collateralized. Until recently, collateralization meant users needed to rely on a third party to ensure the asset was backed. AMP eliminates this requirement and replaces it with a decentralized digital alternative.
This strategy provides security against fraud on many levels. For one, the transparent nature of the platform enables users to ensure that all collateralized assets are indeed represented. In this way, AMP empowers the creation of next-gen fraud-proof networks and real-world applications.
Benefits of AMP
There are a lot of benefits that AMP users gain access to when they participated in the network. For one, the protocol provides a completely autonomous collateralization system. The network simplifies the act of collateralizing real world and digital assets via its easy-to-navigate interface. Anyone can collateralize their assets using the network in minutes.
Once your assets are collateralized, you can enjoy instant transfers. The AMP network provides near real-time collateralization and transactions. In this way, the protocol is scalable to meet the needs of the growing digital economy.
One of the main concerns of developers was to ensure that the protocol was secure. As such, the team has gone to great efforts to ensure that the network is protected. The platform's smart contracts have been audited and the protocol is open source. In this way, the community can vet the merits of the system. Open source projects are recommended over closed projects because users can verify every step of the process to ensure everything is above the board.
AMP users enjoy a high level of interoperability within the market. For one, the protocol was built on Ethereum, so it already has access to the entire ERC-20 ecosystem. Notably, Ethereum is the largest Dapp and token launch platform in the world. Additionally, AMP has a number of strategic partnerships. The protocol currently supports +25 different digital assets and works hand-in-hand with multiple top-performing networks such as Flexa, CoinGecko, Gemini, Sushi, and Uniswap.
The developers behind the AMP project wanted to ensure that the platform could function as a base for developers seeking more security in their own apps. As such, the network operates as a flexible and future-proof system in many ways. For example, the network features an open-source license. This approach simplifies creating and deploying custom collateral managers for Dapps to interface. In this way, anyone can build apps that lock and unlock Amp on-demand to secure transfers, enable lending, and send value internationally.
Another major benefit of the platform is its independent nature. AMP operates as an agnostic protocol. Developers from other networks can easily leverage the protocol to improve their own systems. The platform can support multiple blockchains and physical assets with ease. In this way, anyone seeking more fraud protection within their networks can use Amp as collateral to secure these actions.
How Does AMP Work?
AMP leverages a variety of features and protocols to provide its agnostic collateral options to the market. The platform was built from the ground up to support a huge selection of tokens and assets. Notably, the core system of the network is ERC-20 compliant. This approach ensures that users can use any ERC-20 compatible exchanges, wallets, and more.
Users must stake their AMP to collateralize assets as part of the network's procedures. Staking is the act of locking your crypto into a network smart contract for a pre-determined time. In the AMP ecosystem, any form of value exchange can be guaranteed by staking the asset. Today, AMP secures an expanding selection of assets including digital payments, fiat currency exchange, loan distributions, property sales, and more.
Users stake their tokens into large collateral pools. Once staked to a partition, Amp is ready to collateralize a transfer. These pools provide multiple benefits to the network and users. For one, they ensure that the network can remain sustainable. When an asset transfer fails, the collateralization pool initiates built-in lost prevention mechanisms. This strategy keeps the protocol profitable and provides added protection to the parties involved in the transaction.
There are a number of smart contracts that enable users to get more from their user experience. For example, there are smart contract options that enable users to leverage micro-distributions and continuous compounding. AMP's developers intend to expand on these features as the network develops further.
The main utility token for the network is AMP. Users must hold AMP to interact and participate in any of the network's features and services. As part of the developer’s anti-inflationary policies, there is a fixed value of AMP in circulation. Users can stake AMP and secure added profits. Additionally, you can trade AMP on any ERC-20 compatible DEX including Uniswap and SushiSwap.
How to Buy Amp (AMP)
Amp (AMP) is available on the following exchanges:
Uphold – This is one of the top exchanges for United States & UK residents that offers a wide range of cryptocurrencies. Germany & Netherlands are prohibited.
Binance – Best for Australia, Singapore, UK and most of the world (Excluding Canada). USA residents are prohibited from buying most tokens. Use Discount Code: EE59L0QP for 10% cashback off all trading fees.
KuCoin – This exchange currently offers cryptocurrency trading of over 300 other popular tokens. It is often the first to offer buying opportunities for new tokens. This exchange currently accepts International & United States residents.
WazirX – This exchange is part of the Binance Group, which ensures a high standard of quality. It is the best exchange for residents of India.
Uphold Disclaimer: Assets available on Uphold are subject to region. All investments and trading are risky and may result in the loss of capital. Cryptoassets are largely unregulated and are therefore not subject to protection.
It’s Time to Get ‘Amped'
AMP represents a shift in the mindset of developers. The protocol was designed to provide much-needed fraud protection for other networks. In this way, it serves a vital role in the community. You can expect to see a lot more AMP integrations as networks seek out more reliable and cost-effective ways to ensure their asset transfers. For now, AMP operates as a next-gen collateralization platform with endless potential. For these reasons, you can expect to hear a lot more from this network in the coming weeks.
David Hamilton is a full-time journalist and a long-time bitcoinist. He specializes in writing articles on the blockchain. His articles have been published in multiple bitcoin publications including Bitcoinlightning.com
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