What is Avantis (AVNT)?

Deep Dive

1. Purpose & Value Proposition

Avantis tackles fragmented derivatives markets by offering unified access to leveraged trading of crypto and real-world assets (RWAs) like forex, commodities, and equities. Its core mission is to democratize high-leverage trading while eliminating intermediaries, giving users self-custodial control. Unique features include:
- Zero-fee perpetual contracts: Fees apply only to profitable trades.
- Loss rebates: Up to 20% rebates for trades countering platform skew, reducing downside risk.
- RWA integration: Supports synthetic gold, oil, and indices – bridging DeFi with traditional markets (Avantis Docs).

2. Technology & Architecture

Built on Coinbase’s Base Chain (Ethereum L2), Avantis leverages Ethereum’s security while optimizing for low fees and speed. Key technical elements:
- Risk-tranched vaults: Liquidity providers choose risk exposure tiers for tailored yields (up to 50% APY).
- Synthetic assets: Uses oracles to mirror real-world prices on-chain, enabling forex and commodity trading.
- Self-custody: Users retain asset control via non-custodial wallets, contrasting centralized exchanges.

3. Tokenomics & Governance

AVNT (1 billion max supply) drives ecosystem incentives:
- Staking: Users stake AVNT for protocol fee shares (up to 50% of fees distributed) and trading discounts.
- Governance: Future community voting on asset listings, fee structures, and upgrades (pending activation).
- Distribution: >50% allocated to community incentives like airdrops and liquidity mining (Gate.io).

Conclusion

Avantis positions itself as a universal leverage layer for decentralized derivatives, combining RWAs with crypto in a non-custodial framework. How will its governance model evolve to balance scalability with community-driven asset expansion?