⌨️ Wrapper (AMM)

The AMM allows users to wrap myXXX to XXX at a ratio of ~1:0.990-0.999. Whitelisted addresses can mint myXXX for XXX at a ~1:1 ratio (dependent on the fee reduction) ✅

Users cannot mint myXXX tokens on their own - instead, they need to purchase them from a liquidity pool, which contains arbitrageurs that trade to make a profit and stabilize the token price. This results in a holder supply of 48.8% and price impact (which varies).

Only whitelisted arbitrage bots and the staking contract can mint new myXXX tokens (via zap-In). Here’s a quick example with 1 ETH and 100 BUSD:

• 1 ETH is minted as 1 myETH (wrapped with no fee) for LP tokens

• 1 myETH & 100 BUSD are added to the liquidity pool (because 1 ETH = 100 BUSD)

• There’s a fee associated with this, where the LP tokens are burned (1% = no reduction / 0.5% for holding MyS / 0.1% for using the fee reducer)

While users can’t mint (only possible when using the zap-in function), they can burn tokens for a 0.5% fee. No fee is associated with myXXX tokens for whitelisted arbitrage bots and the staking contract.

​Click here to learn about using the AMM Wrapper / Zap-in function

Using the Wrapper results in lower transaction fees for myXXX tokens, which has no price impact on the pool. However, it could incur a fee on the LP token, depending on the Fee-Reduction.