# Abstract > Amara is the first clean energy perpetual DEX. It is a decentralized trading and tokenization layer designed for the $2.7 trillion global carbon credit and sustainability market. Built as a complete fork of GMX, Amara goes further by merging perpetual trading with spot swapping to create a unified liquidity layer. > > The focus is on synthetic carbon credits and green assets. These markets are massive but have always been fragmented and hard to access. Amara makes them liquid, tradable, and open to anyone. > > Holders of the AMARA token share directly in protocol growth through a revenue model that rewards participation. Institutions, retail traders, and AI agents can all interact with a system designed to keep markets deep, efficient, and resilient. > > Amara is the green liquidity layer for DeFi. It is the bridge between the urgency of climate markets and the speed of decentralized finance. # Introduction Amara is more than a decentralized exchange. It is a hybrid system designed to unlock liquidity in sustainability assets, starting with synthetic carbon credits. The aim is to take a market worth trillions but locked behind regulation and exclusivity, and open it through DeFi infrastructure. The platform runs on two engines: * A **Perpetual DEX Engine** forked and optimized from GMX that allows users to long and short synthetic sustainability assets such as carbon credits, offsets, and DIONE. * A **Spot Swap Module** forked from PancakeSwap that enables fast, simple token swaps for liquidity providers and traders. Together, these engines create a seamless trading environment. Traders can speculate or hedge, liquidity providers can earn yield, and token holders benefit from the revenue that flows through the system. ### Core Innovations * **Synthetic Carbon Credits On-Chain**: tokenizing offsets and credits as synthetic assets to make a $4T+ fragmented market liquid and accessible. * **Hybrid Trading Model**: combining spot swaps with perpetuals to give traders more flexibility. * **AI-Enhanced Liquidity**: enabling automated strategies and adaptive market-making alongside human traders. * **Green Revenue Flywheel**: rewarding AMARA token holders with a share of fees, aligning DeFi growth with sustainable finance. ### Industry Play Carbon markets are projected to exceed $2.4 trillion by 2027, yet access remains fragmented and illiquid. Amara is positioned as the first DeFi gateway to this market, offering tools, exposure, and liquidity for retail and institutional players. With AI-driven liquidity working alongside human traders, Amara ensures its synthetic climate markets stay active, efficient, and resilient. # Vision & Mission Amara is designed to be the green liquidity layer for DeFi. It stands at the point where two powerful needs meet: the urgency of climate markets and the efficiency of decentralized finance. The vision is straightforward. Carbon credits, offsets, and other sustainability assets make up a multi-trillion-dollar market, yet they remain locked away, fragmented, and hard to access. Amara sets out to change that by making these assets tradeable, liquid, and available to anyone in the world. The mission is long term. We want to build open financial infrastructure where an individual trader, a liquidity provider, or a global institution can all interact with synthetic sustainability markets. Amara is not just one more DeFi protocol. It is built to accelerate the global shift toward a sustainable financial future. # Problem & Opportunity The carbon credit market has serious flaws. Even though it is projected to reach **$2.4 trillion by 2027**, it remains fragmented, illiquid, and largely off-limits to retail users. Access is tightly controlled, transparency is weak, and most trading happens in compliance systems that outsiders cannot reach. Meanwhile, DeFi has shown clear demand for new, high-value asset classes. Traders are searching for volatility and opportunities. Liquidity providers want yield. Institutions are looking for scalable ways to gain exposure and hedge risk. Yet sustainability assets are almost entirely absent from the DeFi space. This gap creates the opening. By unifying liquidity through a mix of perpetual trading and spot swaps, Amara brings synthetic sustainability assets into DeFi. In doing so, it does more than open a new market. It channels sustainable finance into Odyssey, driving fresh volume, deeper participation, and long-term ecosystem growth. # Core Innovations Amara is not a single-product protocol. It is a system designed to open up new markets in DeFi, starting with synthetic sustainability assets. The following core innovations define the foundation of the platform.The carbon credit market is projected to reach 2.4 trillion dollars by 2027. Despite this, it remains out of reach for most participants. Trading is limited to compliance-driven systems, liquidity is shallow, and transparency is poor. Amara addresses this by introducing synthetic versions of carbon credits and offsets directly on-chain. These assets are designed to track the value of their real-world counterparts without relying on closed, highly regulated registries. The result is a new class of tokens that can be traded, used for hedging, or integrated into DeFi strategies. For traders, this opens up exposure to a growing asset class. For institutions, it provides a scalable way to experiment with carbon market integration. For the DeFi ecosystem, it adds a pool of high-value synthetic assets that can generate real activity and liquidity. # Synthetic Carbon Credit Trading Carbon credit markets are fragmented, trading is limited to specialized registries, and liquidity is thin. Retail traders are excluded entirely, and institutions face high barriers to entry. Amara changes this by introducing **synthetic carbon credits** on-chain. These are tokenized representations that mirror the value of real-world carbon credits and offsets without relying on closed, compliance-only systems. They can be traded, used for hedging, or incorporated into DeFi strategies just like any other token. This opens a new category of assets for DeFi. Traders gain exposure to a fast-growing market. Institutions have a way to test strategies at scale. And the broader DeFi ecosystem benefits from the activity and liquidity generated by a new class of high-value tokens. # Unified Liquidity Layer Most decentralized exchanges are siloed. Spot swaps live in one protocol, perpetuals live in another, and users are forced to move between them. This separation fragments liquidity, splits user activity, and limits capital efficiency. Amara takes a different approach. The protocol combines both perpetual trading and spot swaps under one system, giving users access to two distinct liquidity models through a single platform. * The **perpetual engine** (forked from GMX) is backed by a vault-style pool. This pool holds collateral such as USDC, DIONE, and synthetic assets, which traders use to open long and short positions. * The **spot swap module** (forked from PancakeSwap) uses traditional AMM pairs. Liquidity providers deposit token pairs into pools, and traders swap against them at algorithmically determined prices. By housing both engines in one protocol, Amara delivers a unified liquidity layer. Traders can move seamlessly between swaps and leverage trades without leaving the platform. Liquidity providers can choose the model that fits their strategy, whether vault-based exposure or AMM-style pools. The result is deeper markets, more consistent activity, and a stronger overall trading environment. # Staking and Revenue Sharing The AMARA token is directly linked to protocol revenue. By staking their tokens, holders earn a share of fees generated across both the perpetual engine and spot swap module. This transforms the token from a simple utility asset into a mechanism for community ownership. The model creates alignment. Traders drive volume. Liquidity providers supply depth. The community captures a portion of the fees that flow through the system. Over time, this structure turns stakers into long-term stakeholders whose interests grow alongside the protocol. # Sustainable Finance Narrative Amara is not only about mechanics. It is built with a clear purpose: to make sustainable finance a core part of DeFi. Synthetic carbon credits bring a critical asset class on-chain. The unified liquidity model ensures those assets can be traded with efficiency. The staking and revenue system ties community participation to growth. Together, these elements form more than a trading platform. They establish Amara as the green liquidity layer that channels capital, innovation, and attention into sustainability markets. # Architecture & Design Amara is designed as a hybrid decentralized exchange that combines the perpetual trading model pioneered by GMX with the spot swap mechanics of PancakeSwap. The result is a unified system that provides users with both leverage trading and instant token swaps in a single protocol. The architecture is built around several key layers that work together: 1. **Frontend Layer** – The web application through which users interact with the protocol. It connects directly to Odyssey Chain RPCs, integrates wallet providers like MetaMask and WalletConnect, and exposes the trading interface for both spot and perpetual markets. 2. **Backend Services** – Indexers, event processors, and subgraphs that capture on-chain activity and make it queryable. These services provide real-time data for charts, trading analytics, market health indicators, and portfolio dashboards. 3. **Smart Contract Layer** – The core of the protocol. On the perpetual side, vaults, routers, and order handlers manage positions, collateral, and fees. On the spot side, factories, routers, and pair contracts manage swaps and liquidity pools. These contracts are modular and upgradeable, allowing Amara to evolve as new features are introduced. 4. **Oracle Layer** – Pricing is secured by the Dione Oracle system. Multiple nodes provide off-chain data that is aggregated on-chain. Consumer contracts then expose this data to the protocol in a Chainlink-compatible format. This ensures traders always interact with the most reliable price feeds available, especially for synthetic carbon credit assets. 5. **Execution Layer (Keepers)** – Inspired by GMX’s design, Amara uses external keepers to execute user-submitted orders. When a user opens, adjusts, or closes a position, the request is stored on-chain. Keepers monitor these requests and finalize them once conditions are met, using the latest oracle prices. This asynchronous model protects traders from frontrunning and ensures fair execution. Together, these layers form the architecture that makes Amara more than just another exchange. It is market infrastructure: a system built to make synthetic sustainability assets liquid, tradable, and accessible within DeFi while providing the speed, transparency, and security expected from modern decentralized protocols. # Perpetual DEX Module The perpetual side of Amara is forked from GMX and adapted to run natively on Odyssey Chain. It provides leverage trading through a vault-based collateral model, backed by smart contracts that manage deposits, orders, liquidations, and fees. **Vault**\ At the heart of the perpetual system is the Vault contract. Liquidity providers deposit assets such as USDC, DIONE into this vault. These assets serve as collateral for traders opening long and short positions. The Vault tracks balances, applies profit and loss from open trades, and ensures that withdrawals are only possible when funds are available. **Router**\ The Router acts as the main entry point for traders. When a user wants to open, adjust, or close a position, they submit the transaction through the Router. The Router validates inputs, interacts with the Vault to lock collateral, and creates an order record. It ensures a standardized workflow so that all positions follow the same lifecycle. **Position Manager**\ The Position Manager is responsible for maintaining open trades. It handles leverage calculations, applies funding rates, and checks margin requirements. If a position falls below required thresholds, it flags it for liquidation. This module also integrates with the Oracle system to update positions with the latest price data. **Asynchronous Execution Flow**\ Orders in Amara are executed asynchronously, mirroring GMX’s design. When a trader submits an order, it does not execute instantly. Instead: 1. The order is stored on-chain through the Router. 2. Off-chain keepers monitor pending orders. 3. Once conditions are met (such as price, time, or collateral checks), a keeper executes the order. 4. The Oracle provides the latest price feed at the moment of execution. This design protects users from frontrunning and ensures fairness, as execution always uses the most recent validated price. **Fee Logic**\ Fees in the perpetual system are dynamic. Beyond standard swap and funding fees, Amara introduces impact-based adjustments. * If a trade improves pool balance, it is charged a lower fee. * If a trade worsens pool balance, it incurs a higher fee.\ This mechanism discourages imbalances in collateral pools and incentivizes healthier market activity. **Market Utilities**\ The perpetual module also includes supporting utilities: * **Liquidation logic**: Automatically closes undercollateralized positions. * **Funding rate adjustments**: Keeps long and short positions balanced over time. * **Auto-deleveraging (ADL)**: Protects the protocol in extreme scenarios by partially reducing positions to stabilize the pool. Together, these components allow Amara to run a secure, capital-efficient perpetual exchange with support for synthetic carbon credits and native Odyssey assets. # Spot Swap Module (AmaraSwap) AmaraSwap is the spot trading layer of the protocol. It is a fork of PancakeSwap V2, adapted for the Odyssey chain and modified to integrate WDIONE and the Amara token. The swap module enables instant token-to-token swaps, liquidity provisioning, and LP token issuance, forming the foundation for non-leveraged trading within Amara. **Factory Contract**\ The Factory is the registry for all spot trading pairs. When a new pool is created, it is deployed through the Factory, which records its existence and makes it discoverable. * Each pool is represented by a Pair contract. * The Factory manages fee parameters and acts as the source of truth for all available markets. * By querying the Factory, the frontend can display active pools, track reserves, and calculate on-chain analytics such as TVL and APR. **Router Contract**\ The Router is the user-facing contract that interacts with pairs on behalf of traders. Instead of calling pairs directly, users submit transactions through the Router, which handles the logic of choosing paths, checking reserves, and routing tokens. * **Swaps**: Functions like `swapExactTokensForTokens` execute trades by moving assets through a path of pools, often routed through WDIONE for liquidity efficiency. * **Add Liquidity**: Users deposit two tokens into a pair. The Router calculates optimal deposit ratios and returns LP tokens to represent the user’s share of the pool. * **Remove Liquidity**: Users burn LP tokens to withdraw their proportional share of the underlying tokens. By standardizing these interactions, the Router ensures that swaps and liquidity operations remain simple for users while preserving the efficiency of the underlying AMM. **Pair Contracts**\ Each Pair contract holds reserves for a token pair and manages the automated market making (AMM) process. * Reserves update with every trade, using the constant product formula (`x * y = k`) to determine pricing. * LP tokens are minted when liquidity is added and burned when liquidity is removed. * Swap fees are collected at the pool level, with a portion routed to protocol fee addresses and the rest distributed to liquidity providers. Pair contracts are fully composable. Other dApps on Odyssey can integrate them directly, enabling AmaraSwap liquidity to serve as infrastructure across the ecosystem. **Token Standards and Adjustments**\ To adapt PancakeSwap for Odyssey, several modifications were made: * **WDIONE** replaces WBNB as the wrapped native asset, ensuring compatibility between DIONE and ERC20-based contracts. * **Amara Token** replaces CAKE as the governance and incentive token, used for fee distribution and staking rewards. * All contract configurations have been updated for Odyssey’s chain ID (153153 for mainnet, 131313 for testnet) and RPC endpoints. **Liquidity Provisioning and Pools**\ Liquidity providers play a central role in AmaraSwap. By adding token pairs to pools, they enable trading and earn fees on every swap. Pools can be created for any two ERC20-compatible tokens, including synthetic carbon credits once introduced. * Initial pools are expected to include Amara/WDIONE and WDIONE/USDC. * Over time, pools will expand to support synthetic green assets, creating the foundation for tokenized sustainability markets. * Pool data is displayed on the frontend by querying the Factory, giving users real-time insights into depth, volume, and yield. **Fee Structure**\ AmaraSwap applies swap fees at the pool level, following the standard PancakeSwap model. * A portion of fees accrues to liquidity providers as their incentive. * A configurable share can be routed to a protocol-controlled address (`feeTo`) for treasury or governance purposes. * Fee parameters are flexible and can be adjusted to align with market needs or governance decisions. **Integration with Amara Perpetual Module**\ Although the spot and perp modules operate independently, they are unified under a single frontend and ecosystem. This allows traders to move between a simple swap and a leveraged position without leaving the protocol. Liquidity providers can choose their preferred model — vault-based exposure on perps or pool-based exposure on spot — while benefiting from a consistent user experience. # Liquidity Pools and Basket Assets Liquidity is the backbone of Amara. The protocol uses two different models for liquidity, reflecting its hybrid nature. On the perpetual side, collateral is concentrated in vaults that back leveraged trading. On the spot side, liquidity is distributed across token pairs in automated market maker pools. Together, these models create a layered liquidity system that supports both speculation and stable trading. **Perpetual Vault Pools**\ The perpetual DEX relies on vault-based liquidity, similar to GMX. Liquidity providers deposit assets into the Vault, which then serve as collateral for traders. Profits and losses from leveraged trades are paid out of, or accrued to, this pool. * **Composition**: Vaults accept stablecoins like USDC, native assets such as DIONE and others as planned. * **Balance Management**: The Vault tracks positions in real time, adjusting balances as trades are opened or closed. * **Risk Controls**: Caps and weight limits can be applied to different assets to prevent overexposure to a single market. * **Revenue Generation**: Vault participants earn fees from trading activity, including swap fees, funding fees, and liquidation penalties. This design ensures that perpetual markets have deep, consistent liquidity and that traders always interact with a shared pool of collateral. **Spot AMM Pools**\ AmaraSwap uses traditional AMM pairs to provide spot liquidity. Each pool consists of two tokens locked in a smart contract. Traders swap against the reserves, while liquidity providers earn fees proportional to their share of the pool. * **Pair Creation**: Pools are deployed through the Factory contract, with each pool managed by its own Pair contract. * **LP Tokens**: When liquidity is added, the pool mints LP tokens to represent ownership. When liquidity is removed, LP tokens are burned. * **Fee Accrual**: Swap fees are distributed to liquidity providers, with an optional portion routed to protocol-controlled addresses for treasury purposes. * **Integration**: Pool data, such as reserves, trading volume, and APR, is surfaced through subgraphs and displayed in the Amara frontend. Initial pools may include Amara/DIONE and DIONE/USDC, providing the foundation for core trading activity. Over time, new pools will be introduced for synthetic sustainability assets, expanding market depth and diversity. **Green Basket Index (Future)**\ A planned feature of Amara is the creation of a pooled token that represents a basket of synthetic carbon credits and offsets. * **Purpose**: The Green Basket Index will give users one-click exposure to multiple sustainability assets, reducing the need to manage individual markets. * **Design**: The index will be backed by a mix of synthetic carbon credits, each with assigned weights. * **Utility**: Traders can speculate on the broader carbon market, while institutions gain a diversified entry point into DeFi sustainability assets. By combining vault-based perps liquidity, AMM spot pools, and the future Green Basket Index, Amara builds a liquidity framework that is both flexible and forward-looking. It not only serves current DeFi needs but also sets the stage for scaling into institutional-grade sustainable finance. # Oracles and Pricing Mechanisms Accurate pricing is critical for both perpetual trading and spot swaps. Amara employs a decentralized oracle system built on Odyssey Chain to ensure that trades execute against reliable data, especially when dealing with synthetic sustainability assets. **Dione Oracle**\ At the center of the system is the **DioneOracle** contract. It is upgradeable and designed to aggregate data from multiple independent oracle nodes. When an asset price is requested: * Multiple oracle nodes submit off-chain data. * The oracle contract validates and aggregates these submissions into a single on-chain value. * The aggregated result is then passed to consumer contracts that interact directly with Amara’s trading modules. This design prevents reliance on a single price source and minimizes the risk of manipulation. **Consumer Contracts**\ Specialized consumer contracts such as `TechBasedOffsetUSDPriceFeedV2` interact with the DioneOracle to provide Chainlink-style APIs (`latestRoundData()`). This makes it easy for trading modules, subgraphs, and external dApps to fetch the latest validated price for a given asset. * Each consumer contract is designed for a specific trading pair or asset type. * They ensure only the freshest data is accepted, using mechanisms like heartbeat checks and timestamp validation. * Outdated or invalid submissions are rejected automatically. **Perpetual Market Pricing**\ For leveraged trades, price feeds are central to determining margin requirements, profit and loss, and liquidation thresholds. When a trader opens or closes a position: 1. The Router requests the latest price from the Oracle. 2. The Oracle returns the aggregated result. 3. The Position Manager uses this data to update the trader’s collateral and calculate funding rates. Orders are executed asynchronously. Keepers fetch prices at the moment of execution, ensuring that traders always interact with current market conditions. **Spot Market Pricing**\ AmaraSwap pools use the constant product AMM model (`x * y = k`) to determine swap prices directly from reserves. However, oracle pricing still plays a role in governance, analytics, and cross-protocol integrations. By indexing AMM prices alongside oracle feeds, Amara can compare pool data to external benchmarks, ensuring integrity and transparency. **Security Measures**\ The oracle system includes several safeguards to protect against manipulation: * **Minimum response thresholds**: At least a set number of oracle nodes must respond before a price is finalized. * **Heartbeat validation**: Consumer contracts reject stale data if it is older than the last recorded heartbeat. * **Upgradeable design**: Using OpenZeppelin’s upgradeable libraries, both oracle and consumer contracts can be upgraded to adapt to new markets or standards. * **Event logging**: Every price submission and update is logged on-chain, providing full transparency for audits and analytics. **Future Expansion**\ The oracle system is modular, allowing new feeds to be added without disrupting existing markets. Future integrations may include additional sustainability-related data providers, such as carbon offset registries or green energy indexes, expanding Amara’s ability to support synthetic markets tied to real-world climate finance. # Use Cases ### For Traders Amara gives traders access to two complementary markets under a single protocol: perpetual leverage trading and spot swaps. This dual system means traders can manage short-term speculation and long-term exposure without leaving the platform. **Perpetual Trading**\ Traders can take long or short positions on supported assets such as DIONE, USDC, and synthetic carbon credits. * **Leverage**: Positions can be opened with leverage, allowing traders to amplify gains (and losses). * **Margin and Collateral**: Deposits into the Vault serve as collateral. The Position Manager tracks balances, calculates profit and loss, and enforces liquidation thresholds. * **Execution**: Orders are submitted through the Router and executed asynchronously by keepers using the latest oracle price feeds, ensuring fairness and reducing frontrunning risks. * **Funding Rates**: A dynamic funding system balances long and short demand. Traders on the crowded side of the market pay fees to those on the less crowded side, keeping pools stable over time. **Spot Swaps**\ Not every strategy requires leverage. Through AmaraSwap, traders can swap tokens directly using AMM liquidity pools. * **Instant Access**: Swaps settle in a single transaction, giving users immediate exposure to DIONE, USDC, and other supported tokens. * **Path Routing**: Trades route through WDIONE for efficiency, ensuring deep liquidity even in less active pools. * **Liquidity Transparency**: Prices and reserves are visible on-chain, and subgraphs provide real-time trade data for charting and analysis. **Synthetic Asset Exposure**\ One of Amara’s key innovations is the ability to trade synthetic versions of carbon credits. For traders, this represents access to an entirely new class of assets: * **Speculation**: Traders can bet on the future price of synthetic sustainability markets. * **Hedging**: Exposure can be used as a hedge against other investments or environmental risk. * **Accessibility**: By keeping these assets on-chain and synthetic, traders bypass the restrictions of traditional carbon markets while still participating in their growth. Amara’s trader-focused design combines the flexibility of spot trading with the opportunity of leverage, all while opening the door to sustainability assets that were previously inaccessible in DeFi. # For Liquidity Providers Liquidity providers are the foundation of Amara’s markets. By depositing assets into the protocol, they enable trading, earn fees, and gain exposure to a new class of synthetic sustainability markets. Amara offers two distinct models for liquidity providers, each with its own mechanics and incentives. **Perpetual Vault Liquidity**\ On the perpetual side, liquidity is concentrated in a shared collateral vault. * **How it works**: Providers deposit assets such as stablecoins, DIONE, or synthetic tokens into the Vault. These deposits act as collateral for leveraged trading. * **Revenue streams**: LPs earn from multiple fee sources, including swap fees, funding fees, and liquidation penalties. Because fees are generated by trader activity, returns scale with market volume. * **Risk exposure**: Providers share in the protocol’s profit and loss dynamics. If traders lose, the Vault captures their losses. If traders win, payouts come from the Vault. This model offers high yield potential but carries exposure to trader performance. **Spot AMM Liquidity**\ On the spot side, AmaraSwap offers traditional AMM pools. * **Pair-based pools**: Liquidity providers contribute two tokens into a pair, such as WDIONE/USDC. * **LP tokens**: In return, they receive LP tokens representing their share of the pool, which can be redeemed at any time. * **Fee rewards**: Each swap in the pool generates a fee, distributed proportionally among LPs. * **Lower exposure risk**: Unlike the Vault, AMM pools do not directly carry trader PnL risk. Instead, LPs face impermanent loss if token prices move significantly. **Flexibility in Strategy**\ By combining these models, Amara gives liquidity providers freedom to choose their level of risk and return. * Providers seeking higher yield with more market exposure may opt for the Vault. * Providers preferring a more predictable fee stream can use AMM pools. * Some may split capital across both, diversifying exposure. **Sustainability Angle**\ What makes Amara unique for liquidity providers is the integration of synthetic carbon credit assets. This introduces an additional revenue pathway: being among the first to provide liquidity for sustainability markets. As demand for these assets grows, early LPs stand to benefit from higher volumes and deeper fee capture. Amara’s liquidity provider design is more than just a fee mechanism. It is a way for participants to align themselves with both financial returns and the long-term vision of building sustainable finance in DeFi. # For Institutions Amara is designed not only for individual traders and liquidity providers but also for institutions that want structured exposure to sustainability markets. Traditional financial institutions face steep barriers to entering carbon markets: limited access, fragmented registries, and high transaction costs. Amara provides a pathway for them to experiment, hedge, and allocate capital through synthetic assets in DeFi. **Green Index Exposure**\ A key offering for institutions is the planned Green Basket Index. * **Diversification**: Instead of managing exposure across multiple synthetic carbon credit markets, institutions can gain diversified access in a single instrument. * **Efficiency**: The index reduces operational overhead. A single position gives exposure to a mix of sustainability-linked tokens, simplifying portfolio management. * **Liquidity**: Since the index is pooled on-chain, it benefits from Amara’s unified liquidity layer, making it easier to enter and exit positions without slippage concerns. **Risk Management Tools**\ Perpetual markets within Amara also offer hedging opportunities for institutional actors. * **Leverage and Shorts**: Institutions can take short positions on synthetic carbon markets to hedge long-term exposure elsewhere. * **Funding Rates**: Dynamic funding ensures market equilibrium, giving institutions clear pricing signals for supply and demand imbalances. * **Collateral Flexibility**: Support for stablecoins and other base assets allows them to interact without being tied exclusively to volatile tokens. **Compliance and Transparency**\ Amara’s use of subgraphs and on-chain data makes it straightforward to generate transparent records of activity. For institutions that require compliance-grade reporting: * Every transaction, position, and pool state is traceable. * Subgraphs provide structured datasets for internal accounting or third-party audits. * This transparency aligns with ESG mandates that require clear documentation of sustainability-linked investments. **Strategic Advantage**\ By engaging early, institutions gain a foothold in a market projected to reach **2.4 trillion dollars by 2027**. Synthetic markets let them test strategies without the overhead of regulated carbon registries, while still participating in the financial flows of sustainability assets. Amara positions institutions not just as participants but as pioneers. By providing capital and volume to these new synthetic markets, they help bridge the gap between traditional finance and DeFi while aligning their portfolios with the accelerating global push toward sustainability. # For the Ecosystem Amara is more than a trading venue. By combining perpetual markets with spot swaps and synthetic sustainability assets, it creates network effects that extend beyond the protocol itself and feed directly into the wider Odyssey ecosystem. **Volume and Liquidity Growth**\ Every trade on Amara generates activity for Odyssey. Perpetual markets drive high-volume turnover, while spot swaps encourage everyday use of the chain. Liquidity providers lock capital into vaults and AMM pools, increasing total value locked (TVL) and creating depth that attracts more traders. This flywheel strengthens Odyssey’s role as the home of sustainable finance in DeFi. **Developer Infrastructure**\ Because Amara is open and composable, other projects in the ecosystem can integrate its contracts, subgraphs, and liquidity pools. dApps can tap into AmaraSwap for token swaps, build on perpetual markets for structured products, or use price feeds from Amara’s oracle system. This lowers the barrier for developers and accelerates the creation of secondary products on Odyssey. **Visibility and Branding**\ Amara positions Odyssey as the first chain to host a clean-energy-focused perpetual DEX. This narrative attracts attention from both the crypto sector and sustainability-focused investors. By linking DeFi mechanics to climate finance, Amara differentiates Odyssey in a crowded L1/L2 landscape and provides a story that resonates outside of crypto-native circles. **Network Effect**\ As traders, liquidity providers, and institutions converge on Amara, they generate demand for native assets like DIONE. More wallet connections, more transactions, and more liquidity all feed into network health. This creates a self-reinforcing cycle where adoption of Amara translates into adoption of Odyssey, and vice versa. **Long-Term Alignment**\ By embedding sustainability assets at the core of its design, Amara ensures that growth in the protocol aligns with growth in the broader carbon credit and ESG sectors. This creates long-term opportunities for partnerships, integrations, and institutional involvement that benefit not just Amara but the entire Odyssey chain. Amara’s ecosystem impact goes beyond its own revenue model. It serves as a gateway for new users, a liquidity hub for DeFi builders, and a branding anchor for Odyssey as a chain that champions sustainable finance. # Tokenomics The $AMARA token is at the center of the protocol. It powers rewards, aligns incentives across stakeholders, and ties holders directly to platform growth. Its design emphasizes sustainability, long-term value creation, and real yield backed by actual trading activity. **Core to the Ecosystem**\ $AMARA is not a secondary token. It drives staking, liquidity incentives, and treasury alignment. As the protocol expands, more functionality will be routed through $AMARA, ensuring it remains central to Amara’s operation. **Deflationary by Design**\ A portion of protocol revenue is allocated to buybacks and burns. Tokens repurchased from the market are permanently removed from circulation, reducing supply in direct proportion to platform usage. This design makes scarcity a function of real adoption rather than artificial limits. **Staking and Real Yield**\ Holders who stake $AMARA gain a share of protocol revenue. Staking rewards are designed to reward long-term holders through: * Fee distribution from both perpetual and spot markets * esAMARA (escrowed AMARA) for compounding rewards * Multiplier points that enhance yield over time This creates yield tied to protocol performance, not inflationary emissions. **Buyback Program**\ Part of Amara’s revenue will be used to buy $AMARA from the open market. Purchased tokens may either be burned or re-staked. Both actions support value by reducing sell pressure and tying token appreciation to platform activity. **Governance (Future Feature)**\ Governance is not active at launch. Over time, $AMARA holders will gain the ability to participate in decision-making. Scope will expand progressively, from adjusting fee parameters to treasury spending, market onboarding, and sustainability integrations. This ensures that decentralization happens gradually and responsibly as the protocol matures. **Smart Vesting and Alignment**\ Allocations for the team, treasury, and ecosystem are distributed with cliffs and linear vesting schedules. This prevents sudden market shocks and keeps contributors aligned with the long-term health of the protocol. **Sustainability Narrative**\ The $AMARA token model ties financial design to the protocol’s mission. Deflationary mechanics ensure scarcity, real yield rewards active participants, and governance (once enabled) will align with sustainability-driven objectives. Every piece of tokenomics is designed to strengthen Amara’s role as the green liquidity layer of DeFi. # Token Utilities The $AMARA token has been designed to serve multiple roles within the protocol, ensuring that holders, liquidity providers, and future governance participants all benefit from its integration. While some utilities are active from day one, others will come online as the protocol matures. **Staking and Revenue Sharing**\ Staking is the primary utility of $AMARA. Holders who stake their tokens earn a direct share of protocol revenue, creating real yield backed by trading activity rather than inflationary emissions. Rewards include: * **Protocol Fees**: A share of fees collected from both perpetual trades and spot swaps. * **Multiplier Points**: A system that boosts staking rewards for those who commit capital over longer horizons. This structure makes staking a direct reflection of Amara’s growth. The more the platform is used, the higher the yield for stakers. **Liquidity Incentives**\ Liquidity is critical for both Amara’s perpetual vaults and spot AMM pools. $AMARA is used to reward those who supply capital to these systems. * **Perpetual Vault Providers**: Earn trading fees, liquidation penalties, and dynamic funding spreads, with $AMARA incentives boosting returns during early growth phases. * **AMM Pool Providers**: Receive swap fees from their liquidity pairs, augmented by $AMARA rewards to encourage deeper liquidity in critical pools. By tying rewards directly to liquidity provision, Amara ensures its pools remain active and competitive against other DEXs. **Governance (Future Utility)**\ Governance is not active at launch. As Amara evolves, $AMARA will become the key to protocol decision-making. * **Voting Rights**: Token holders will be able to vote on proposals covering new markets, treasury spending, and fee parameters. * **Progressive Decentralization**: Governance rights will expand gradually, giving the protocol time to stabilize before shifting more control to the community. This staged rollout ensures that governance is meaningful and backed by a mature ecosystem rather than rushed into place prematurely. **Revenue Share**\ Beyond staking rewards, $AMARA is directly linked to revenue redistribution. A portion of protocol revenue is periodically allocated to buybacks or redistribution events, ensuring that holders remain connected to the success of the platform. **Points and Loyalty Programs**\ $AMARA will also play a role in loyalty systems tied to ecosystem quests, campaigns, and airdrops. Points earned through participation can be enhanced or redeemed via $AMARA staking, giving active community members an additional incentive to hold and use the token. # Token Details **Token Name**: Amara Token\ **Token Symbol**: $AMARA\ **Type**: Native Utility and Governance Token\ **Initial Chain**: Odyssey Chain\ **Total Supply**: 1,000,000,000 $AMARA The total supply has been fixed at one billion tokens. This capped supply ensures predictability while supporting long-term scarcity through deflationary mechanics such as buybacks and burns. #### Token Allocation The total supply of 1,000,000,000 $AMARA is distributed across key categories designed to balance protocol growth, community incentives, and long-term sustainability. Allocations are structured to avoid short-term concentration of tokens and to align each group with the protocol’s mission. | Category | % of Supply | Token Amount | Purpose | | ----------------------- | ----------- | ------------ | ------------------------------------------------------------------------------------------------------------------------------------------- | | Token Sale | 5% | 50,000,000 | Distributed to early supporters and the community through presales and public sales. Provides initial token distribution and accessibility. | | Team | 15% | 150,000,000 | Reserved for core contributors. Structured with a 12-month cliff and 36-month linear vesting to align long-term commitment. | | Ecosystem Incentives | 5% | 50,000,000 | Grants, staking rewards, onboarding projects, and integrations. Designed to accelerate adoption of Amara within Odyssey and beyond. | | Ecosystem Market Access | 75% | 750,000,000 | Allocated to bootstrap liquidity in core pools (Amara/ETH and related markets). Provides immediate depth and stability for early trading. | # Vesting Schedule To protect the ecosystem from sudden sell pressure and to ensure long-term alignment, $AMARA allocations are released under structured vesting schedules. Each category has rules tailored to its role in the protocol’s growth. **Partnerships** * **Initial Release**: 1% unlocked at TGE (Token Generation Event). * **Vesting**: Remaining tokens vest linearly over 24 months. **Team** * **Cliff**: Tokens are locked for the first 12 months. * **Vesting**: Linear vesting over the following 36 months. **Treasury / Operations Reserve** * **Vesting**: Linear release over 36 months. **Ecosystem Incentives** * **Initial Release**: 3% unlocked at TGE. * **Vesting**: Remaining tokens vest linearly over 24 months. **Liquidity Allocations** * **Release**: The majority of initial liquidity tokens (70% of supply) are unlocked at launch. # Burn Mechanism $AMARA is designed to be deflationary over time through a structured buyback-and-burn program. Instead of relying on arbitrary burns, supply reduction is tied directly to actual protocol usage, making every burn meaningful and transparent. **How It Works** * A portion of protocol revenue is allocated specifically for buybacks. * These funds are used to purchase $AMARA from the open market. * All tokens acquired through this program are permanently sent to a burn address, removing them from circulation. **Funding Sources for Buybacks** * **Trading Fees**: Revenue from perpetual and spot markets. * **Liquidation Fees**: Collected when undercollateralized positions are liquidated. * **Funding Rate Spreads**: Surplus generated when long and short positions are imbalanced. * **Treasury Surplus**: Excess reserves directed by governance once active. **Execution**\ Buybacks are carried out transparently, with transactions visible on-chain. They may occur on a recurring schedule or be triggered by revenue milestones, such as hitting a certain fee threshold. This ensures flexibility while maintaining accountability. **Impact on Supply** * Every buyback reduces circulating supply, directly linking token scarcity to Amara’s adoption. * Burns compound over time. As usage grows, more revenue is directed to buybacks, accelerating deflationary pressure. * The effect is twofold: supporting token value while rewarding long-term holders through scarcity. **Long-Term Alignment**\ By tying burns to platform revenue, Amara ensures that deflation is not arbitrary but earned. The more successful the protocol becomes, the more aggressive the burn schedule grows. This design reinforces $AMARA’s role as both a utility token and a store of value tied to the health of the ecosystem. # Liquidity Model Liquidity is the engine that drives Amara. Without it, neither perpetual trading nor spot swaps can function effectively. Amara’s design provides two liquidity models: vault-based pools for perpetual markets and AMM pair pools for swaps. Each is built to serve different needs, but together they form a unified framework that supports the growth of synthetic sustainability markets. #### Perpetual Vault Liquidity The perpetual side of Amara relies on a shared collateral vault. Liquidity providers deposit assets into the vault, and these deposits are used as collateral for leveraged trading. **How it works** * Traders borrow liquidity from the vault when they open long or short positions. * Profits and losses are settled against the vault. When traders win, payouts are deducted from the vault. When they lose, their losses accrue to the vault. * Liquidity providers earn revenue from trading fees, funding payments, and liquidation penalties. * Because the vault directly absorbs trader performance, LPs are exposed to directional risk. This model ensures deep liquidity for leverage trading while directly linking vault health to platform usage. #### Spot AMM Liquidity On the spot side, AmaraSwap uses a pair-based AMM model. Liquidity providers add two tokens into a pool, and traders swap against those reserves. **How it works** * Pools follow the constant product formula (x × y = k), which adjusts reserves with every trade to determine price. * Liquidity providers receive LP tokens representing their share of the pool. These tokens can be redeemed at any time. * Revenue for LPs comes from swap fees, distributed in proportion to their share of the pool. * LPs face impermanent loss if the price of tokens in the pool diverges, but they are not exposed to trader profit and loss like in vaults. This model provides stable, predictable liquidity for token swaps and yields tied directly to trading activity. #### Combined Liquidity Design Running both systems side by side gives Amara flexibility and resilience. * Vaults serve high-volume leveraged trades. * AMM pools serve everyday spot swaps. * Liquidity providers can choose between higher-risk, higher-reward vault exposure or steadier returns from AMM pools. Some may allocate capital across both for diversification. #### Green Basket Index (Planned) Amara is planning a Green Basket Index to give users exposure to multiple synthetic carbon credits and offsets through a single token. **Design goals** * Provide diversification by spreading exposure across several sustainability assets. * Improve accessibility by offering one-click exposure to the broader carbon credit market. * Concentrate liquidity into a single pooled product, creating deeper and more efficient markets. The Green Basket Index is intended to serve both retail and institutional participants, offering a simple and scalable way to engage with sustainability-linked assets in DeFi. # Security #### Audit Plans and Methodology Security in DeFi begins with audited contracts. Amara inherits a strong foundation by forking from **GMX V2**, a system that has already been extensively reviewed by multiple third-party security firms. By starting from a proven base, Amara reduces the surface area for vulnerabilities and avoids many of the risks common to untested code. In addition to the inherited audits from GMX, Amara has taken further steps to validate its unique components. The **Dione Oracle contracts**, which secure price feeds for synthetic carbon credits, were independently audited. This review covered both the core oracle infrastructure and the consumer-facing contracts that deliver Chainlink-style price data to trading modules. The focus of this audit was on: * Accuracy of price aggregation and validation logic * Protection against stale or manipulated submissions * Upgradeable contract safety using OpenZeppelin standards * Compatibility with future feed integrations Amara’s methodology is to combine **proven, audited base layers** with **specialized audits for new modules**. By layering reviews in this way, the protocol ensures both the robustness of inherited code and the reliability of its unique innovations. Future audits will continue as Amara expands. New features, such as the Green Basket Index or expanded synthetic markets, will be reviewed before deployment. This ensures that each stage of protocol growth is backed by the same level of scrutiny that underpins its launch. # Risk Management Amara’s design places risk management at the center of its perpetual and spot markets. Because the protocol supports leverage and synthetic assets, it must maintain strict controls to protect both liquidity providers and traders. **Liquidations**\ Liquidations act as the first line of defense for vault health. * When a trader’s collateral falls below the maintenance margin requirement, their position is flagged for liquidation. * Keepers execute the liquidation using the latest oracle price feed, ensuring accurate settlement. * A portion of the liquidated collateral is used to cover the debt, while penalties are routed back into the vault as compensation to liquidity providers. * This mechanism ensures that vault solvency is always preserved, even during volatile market conditions. **Funding Rates**\ To keep long and short demand balanced, Amara applies dynamic funding payments. Traders on the heavier side of the market pay a fee to those on the lighter side. This stabilizes exposure in the vault and reduces the risk of prolonged directional imbalance. **Insurance Logic**\ Amara inherits the vault-based insurance model of GMX. The vault itself acts as insurance for the protocol, absorbing losses when traders win and accruing profits when traders lose. By design, LPs take on directional risk, but this is offset by the consistent inflow of fees from swaps, funding, and liquidations. **Hedging Opportunities**\ In the long term, Amara plans to expand risk management with hedging strategies. For example: * The protocol treasury may use external venues to offset extreme exposures. * Green index products can spread collateral risk across multiple synthetic markets, reducing dependence on any single asset. By combining automated liquidations, dynamic funding, and vault-based insurance, Amara maintains systemic balance. Future hedging tools will enhance resilience further, ensuring that the protocol can scale while protecting participants from tail risks. # Bug Bounty Program Amara recognizes that even with audits and careful engineering, no protocol is ever completely free from risk. For this reason, a bug bounty program is included in the roadmap to provide an additional layer of protection. **Purpose**\ The bounty program is designed to incentivize independent security researchers and white-hat hackers to find vulnerabilities before they can be exploited. By rewarding responsible disclosure, Amara strengthens its defense while building trust with the community. **Scope**\ The program will cover all production contracts, including: * Perpetual trading modules such as Vault, Router, and Position Manager * Spot swap contracts including Factory, Router, and Pair * Oracle infrastructure, including the DioneOracle and consumer contracts * Treasury, staking, and reward distribution contracts once deployed Frontend applications, APIs, and subgraphs will also fall under scope, as attacks often target off-chain systems that feed into the protocol. **Rewards**\ Bug reports will be classified by severity: * **Critical**: Vulnerabilities that could drain liquidity pools, manipulate oracle pricing, or disable core functionality. * **High**: Issues that could result in incorrect settlements, partial fund loss, or denial of service. * **Medium and Low**: Minor exploits or inefficiencies that affect user experience or protocol integrity. Rewards will scale with severity, paid in $AMARA or stablecoins. Critical findings will command the highest payouts to attract top-tier researchers. **Roadmap**\ The bounty program will be launched after mainnet stabilization, once initial trading and liquidity flows are active. This ensures that the program starts with real stakes, incentivizing meaningful security research. It will be hosted on a recognized platform to guarantee transparency, clear disclosure processes, and reliable payouts. **Long-Term Goal**\ The bounty program is more than a security measure. It is a commitment to openness and collaboration. By inviting the global security community to scrutinize Amara, the protocol positions itself as a transparent, resilient, and trustworthy piece of DeFi infrastructure. # Regulatory Considerations Amara is built to expand access to sustainability markets, but it does so in a way that respects the realities of global regulation. Carbon markets today are heavily fragmented and regulated at both national and international levels. To align with this landscape, Amara begins with synthetic assets while charting a pathway to eventual integration with regulated providers. #### Operating with Synthetic Carbon Assets At launch, Amara only supports synthetic versions of carbon credits and offsets. These synthetic assets mirror the price of real-world carbon instruments but do not represent claims on regulated registries. This approach provides traders with exposure to the carbon credit market while avoiding the regulatory hurdles tied to the direct custody and transfer of compliance-grade credits. Synthetic assets allow Amara to: * Offer transparent, on-chain access to sustainability-linked markets. * Enable speculation and hedging without requiring access to restricted registries. * Build liquidity infrastructure that can later support regulated assets if and when integration becomes possible. #### Pathway to Integrating with Regulated Carbon Credit Providers While the focus is synthetic assets today, Amara is designed with future compatibility in mind. Oracle infrastructure and contract architecture can be extended to incorporate data from regulated carbon credit providers. This may include: * Price feeds linked directly to compliance markets. * Tokenized representations of credits from recognized registries, offered through licensed intermediaries. * Hybrid models where synthetic assets trade alongside verified, tokenized credits. Any such integration would require partnerships with established players in the carbon credit space and alignment with jurisdiction-specific rules. Amara’s modular design makes it possible to pursue these opportunities without redesigning the core protocol. #### Compliance Outlook Carbon markets are evolving rapidly. Many jurisdictions are introducing new rules around the trading, reporting, and custody of carbon offsets. In parallel, DeFi regulation is tightening worldwide, with growing emphasis on consumer protection, AML/KYC requirements, and stablecoin oversight. Amara’s compliance outlook is therefore structured around flexibility: * Operate initially with synthetic assets that avoid regulated custody issues. * Maintain transparent on-chain data through subgraphs and audits, ensuring traceability. * Explore future partnerships with licensed entities for direct access to compliance-grade credits. * Adapt to regulatory developments by keeping governance (once active) empowered to align protocol decisions with new frameworks. By starting with synthetic assets and building optionality into its design, Amara positions itself to thrive in today’s environment while preparing for tomorrow’s regulatory landscape. # Staking This page explains how staking works on Amara: the lock tiers, how rewards are earned, and what penalties apply when users exit or claim rewards early. The system is built to protect long-term holders ### STAKING OPTIONS AND REWARD TIERS | Lock Duration | APY | Benefits | | ------------- | ---- | ---------------------------------------------------------------------- | | 2 Months | 15% | Earn rewards only | | 3 Months | 20% | Earn rewards only | | 6 Months | 30% | + Voting rights | | 12 Months | 60% | + Voting rights, early access to private sales on CRE8 and Dione Spark | | 24 Months | 120% | + All 12-month perks, share in protocol revenue | ### REWARD ACCRUAL AND MONTHLY CLAIM LOGIC * Rewards begin to accrue from the moment you stake. * You can claim rewards at any time, but the system tracks the **time since your last claim**. * **Only one claim is allowed per stake every 30 days**. The 30-day interval is measured **from the time of your last successful claim**. This means: * If you claimed on March 5, your next claim is available on April 4. * Attempting to claim again before April 4 will trigger a **claim rejection** or penalty, depending on your lock status. This rule helps reduce unnecessary on-chain interactions and keeps reward distribution fair across the board. *** ### REWARD PENALTIES (FOR EARLY CLAIM BEFORE LOCK COMPLETION) If you claim rewards before your lock has fully matured, a penalty is applied based on how much of the lock period you’ve completed. **Penalty Formula:** ((Promised APR - Earned APR so far) / Promised APR) × 100% * Minimum penalty: 25% * Maximum penalty: 95% #### Example: You stake for 24 months at 120% APY. You exit after 3 months. * You’ve only earned 15% of the promised APR * Penalty = ((120 - 15) / 120) × 100 = 87.5% * If you had 2,000 AMARA in rewards, you’d keep just 250. The rest is slashed. There is no penalty if you complete the full lock period before claiming. *** ### PENALTIES FOR EXITING BEFORE LOCK ENDS If you exit your stake before the lock duration ends, two separate penalties apply to your staked capital: #### 1. Principal Haircut * 2% applied for every month remaining in your lock * Capped at 20% maximum * Deducted from your original staked amount #### 2. Emergency Withdrawal Fee * A flat 10% fee applied to your original staked amount * Always charged on early exits #### Example: Staked: 10,000 AMARA for 24 months. Exit after 4 months. * 20 months remaining → 20% haircut = 2,000 AMARA * 10% emergency fee = 1,000 AMARA * Returned capital = 7,000 AMARA *** ### PENALTY REFERENCE TABLE | Penalty Type | Applies To | Trigger | Max Impact | | ------------------ | --------------- | -------------------------- | ---------- | | Reward Penalty | Accrued Rewards | Claiming before lock ends | Up to 95% | | Principal Haircut | Staked Capital | Unstaking before lock ends | Up to 20% | | Emergency Exit Fee | Staked Capital | Any early exit | 10% | *** ### RECOMMENDATIONS FOR USERS * Choose a lock period you’re confident you can complete. * Avoid exiting early unless absolutely necessary. * Let rewards accrue and claim them after completing the full lock to avoid penalties. * Remember: the 30-day claim restriction is tracked from your **last claim time**, not by calendar month. By following these rules, you can maximize your rewards and unlock additional ecosystem benefits like governance, private sales, and revenue access. If you need help estimating returns or choosing a tier, reach out to the support team or use the staking calculator on the dashboard.