Welcome to AQTIS Explains. This is a new series where we explain the key parts of the AQTIS ecosystem in simple terms so you can get to grips with the different parts that make up the AQTIS world, in just a few minutes.
What are LSTs?
At the core of AQTIS are our LSTs, or liquid staking tokens. LSTs are at their simplest, tokens that represent tokens committed to a protocol.
They are generally tokenized IOUs that are issued for staking ETH through a liquid staking platform. So when you stake ETH through a liquid staking provider, you deposit some amount of ETH on the platform and in exchange receive special tokens that match the value of your deposit.
AQTIS has built its LSTs differently. We are not a derivative or an IOU. AQTIS LSTs have a value of their own that users buy and own. Instead, these LSTs provide special access to the AQTIS protocol: the gateway to our quant technology.
You can find a deep dive into our quant tech here. But for this piece, an AQTIS LST is a token that generates a yield, that goes directly into your wallet.
What are AQTIS LSTs?
AQTIS has developed three unique LSTs with different reward mechanisms. Each one provides yield, but its makeup differs. We’ll explore what the yield is for qETH later.
But for now, all you need to know is when you buy an AQTIS LST, it generates a yield in tokens. AQTIS LSTs are unique in the DeFi space as they do not depend on a third party to generate a yield.
With AQTIS, the yield comes from being part of the AQTIS ecosystem. Inside the ecosystem, there are several unique features that create yield. One of those is our quant tech.
AQTIS Quant Tech is a unique set of models we have built that uses Quantitative analysis, or QA to help inform when to enter and exit certain trades. These models are then backtested and optimized.
This technology has historically only been available to financial institutions. We believe it should be accessible to everybody. You can find out more about our Quant Tech here.
What is qETH?
qETH is one of our flagship LSTs. It has ETH in the name because it is pegged, 1:1 to native Ethereum, and the ‘q’ part is a reference to the AQTIS ecosystem, and the unique quant tech that sits within it.
That means that part of the yield you receive is in Ethereum, and the other part is in AQTIS tokens. Combined, qETH delivers a 10% annual yield to token holders.
We have broken down the 10% APY into two different currencies: ETH and AQTIS:
- 7.5% APY in native ETH
- 2.5% APY in AQTIS tokens.
Disclaimer: Percentage yields are a guide, not a guarantee. The performance of AQTIS LSTs can vary, as can the percentage yield.
Why does it rely on ETH?
The qETH LST uses the ETH deposited by holders to mint the qETH. Holding the qETH then entitles holders to receive the yield, in both ETH but also AQTIS tokens.
How does it generate yield?
qETH accrues its yield from the AQTIS ecosystem. That means revenue generated by our quant strategies, helps AQTIS LSTs achieve its annual yield.
How do you get hold of qETH and take advantage of the yield?
Users can swap ETH for qETH by using the AQTIS dApp which will be released in Q2 2024.
The beauty of the AQTIS LST is that you don’t have to do anything. Simply hold your qETH in your non-custodial ERC-20 compatible wallet, and the tokens will generate yield on their own.
Once yield has been accrued, users can effortlessly claim it via the AQTIS app without any need for staking or locking their assets.
Follow us on Twitter
Join our Discord
Would you like to better understand and eventually beat the markets?
AQTIS is delivering this institutional-grade Market Insights Newsletter straight into your inbox, for free! ▶️ Subscribe here!
That’s all for now. Stay tuned for more exciting updates, and we’ll catch you in the next one!
