Simplifying decentralized finance (DeFi) with AI-powered strategies designed for Bitcoin.
Amplifi makes growing your BTC effortless with simple, 1-click vaults that eliminate gas fees, swaps, and bridging assets.
By leveraging omni-chain liquidity and AI optimizations, Amplifi ensures you get the best returns across multiple chains—all while keeping full custody of your assets.
Under the hood, Amplifi’s AI engine allocates your BTC across various liquidity pools, adjusting strategies in real-time based on market conditions. The platform’s risk management engine constantly checks on-chain data to protect your assets. This helps reduce yield decay and keep your returns stable.
Amplifi also integrates account abstraction, enabling gasless transactions and social logins (Gmail, Facebook, etc.) to streamline onboarding and account access.
The ultimate goal is to remove all technical barriers, allowing users of any experience level to effortlessly tap into DeFi opportunities within the EVM and BitVM ecosystems.
Of the 560 million crypto holders, just 6 million actively engage with DeFi protocols on-chain. Additionally, only 0.33% of all Bitcoin is used in DeFi.
This gap is mainly due to two key factors:
Complexity and steep learning curve of DeFi.
Lack of trust in centralized (Web2) crypto platforms.
Let’s take a closer look at these challenges:
DeFi introduces many new investment vehicles, but these methods are often complex. They require deep research, analysis, and constant monitoring of positions. This makes manual position management tiresome for users as they risk losing funds if they aren't paying close attention to their positions.
For example, here are some of the challenges faced by depositors of DEXs and money markets:
Liquidity Layer
Risks
Decentralized Exchange (DEX) Liquidity Pools (LPs)
Money (Lending) Markets
Furthermore, DeFi liquidity is fragmented which introduces more complexities to accessing cross-chain liquidity, including:
Bridging Assets: Moving assets between different blockchains requires bridging solutions, which can be complex and risky.
Excessive Fees: Transferring assets across different blockchains and platforms often involves swaps which incur fees. Each transfer incurs bridging and gas fees, which can add up and reduce overall returns.
Overchoice: The overwhelming number of available options can make it difficult to identify the best strategies, leading to analysis paralysis and suboptimal decision-making.
These challenges make it harder for users to effectively manage their assets and take full advantage of yield opportunities across multiple chains.
Centralized platforms like BlockFi and Celsius have attempted to offer easy access to DeFi yields but have retained too many traditional banking elements. While convenient, they have struggled with transparency, custodial risks, and poor risk management, leading to insolvency.
In March 2023, it was revealed that BlockFi had $227 million in uninsured funds at Silicon Valley Bank. BlockFi filed for Chapter 11 bankruptcy on November 28, with over 100,000 creditors.
Similarly, Celsius faced issues due to its risky lending practices. It relied on Prime Trust to store assets until June 2021, when Prime Trust expressed concern over Celsius's strategy of repeatedly re-hypothecating assets to boost yields. On June 13, Celsius halted customer withdrawals due to "extreme market conditions," leading to a sharp drop in Bitcoin and Ethereum prices.
Amplifi provides users with the yield options and transparency of DeFi while maintaining the simplicity of traditional platforms —offering the best of both worlds. To achieve this, Amplifi employs the following features:
Dynamic Asset Management (Optimization and Rebalancing): Amplifi’s AI/ML engine leverages proprietary institutional-grade strategies to redistribute and optimize assets. It automatically rebalances portfolios into the highest APY pools, ensuring efficient management of both Bitcoin and stablecoin based strategies.
Cross-chain capabilities: Amplifi offers seamless cross-chain liquidity without the need for manual bridging or gas fees, thanks to Chainlink’s CCIP. This allows users to benefit from optimized cross-chain strategies, securely transferring tokens and data across different networks. CCIP ensures these processes are efficient and secure, streamlining user experience while minimizing risks.
Account abstraction: Amplifi enables seamless, gasless (sponsor-paid) transactions and simple Web2 logins (via social platforms like Facebook and Gmail), allowing users to create and manage wallets for on-chain activities easily.
The Amplifi protocol is hybrid-decentralized, comprising both open-source (smart contract) and closed-source (AI/ML engine, authorization & authentication) code working together.
The strategies employed by our AI/ML engine are based on proprietary algorithms, which range from standard input-output methods to more advanced machine-learning (ML) techniques.
This allows us to achieve the two main objectives of the Amplifi platform:
We use weighted approaches to balance risk and return. Techniques such as evolutionary algorithms, gradient descent, and portfolio optimization methods—primarily based on Markowitz portfolio theory—are integrated based on the complexity and constraints of the problem.
Our strategies incorporate cross-machine learning techniques to ensure they correlate effectively, providing significant maintainability advantages across our distribution methods.
One of the secondary objectives of the Amplifi platform is to maintain stable Annual Percentage Yields (APYs) that we offer. Since we do not have direct access to the pools—provided by third-party platforms like AAVE—the only viable approach is through vigilant monitoring and effective redistribution strategies.
Leveraging the community-hosted AAVE graph explorer our systems continuously monitor APYs around the clock. When APY values fluctuate beyond reasonable thresholds, our standard distribution algorithm is automatically triggered.
Furthermore, with ThirdWeb, we can stake and unstake funds without requiring explicit permission from users.