Description
Napier AMM is the liquidity layer built to complement Napier v2, Napier's modular yield-tokenization protocol that lets users fix and trade yield and curate yield products. Built as a Uniswap v4 Hook using a Notional-style trading curve, Napier AMM introduces rehypothecation of LP capital into ERC-4626 vaults, just-in-time liquidity via dynamic AMM-vault rebalancing, time-adaptive curves that align pricing with accrued yield, concentrated liquidity across curator-defined implied-APY bands, and curator-set parameters such as vault allowlists, allocation ratios, and fee splits. It aims to solve sector-wide issues in yield tokenization such as fragmented liquidity, high liquidity costs, low capital turnover, and unreliable pricing due to shallow pools. The product benefits curators (new fee revenue, differentiated strategies, KYC-enabled whitelisting), LPs (reduced impermanent loss, dual yield from vault returns plus trading fees), PT/YT traders (lower price impact, deeper liquidity), and asset issuers (liquidity bootstrapping without excessive incentive spend). It is undergoing audits coordinated with the Uniswap Foundation Security Fund and was targeting an October launch across chains running Uniswap v4.