What is the significance of cyst formation in Amoeba?

Explanation

### Step-by-Step Solution

1. **Understanding Cyst Formation**: Cyst formation in Amoeba is a response to unfavorable environmental conditions. While Amoeba typically reproduces through binary fission, in adverse conditions, it resorts to a different method.

2. **Multiple Fission**: Under unfavorable conditions, Amoeba undergoes a process called multiple fission. This is a form of asexual reproduction where the organism divides into several daughter cells simultaneously.

3. **Formation of Protective Covering**: During multiple fission, Amoeba forms a protective structure known as a cyst. This cyst consists of a three-layered protective covering that encases the organism.

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