Amniotic fluid found in the uterus is capable of forming different types of cells thus said to be self-renewal. However the cells have limited differentiation but when grown in conducive conditions in the lab, the cells can form different tissues like bones, liver, muscle cells and brain.
The amniotic fluid suspends the foetus allowing it to grow and move freely. It also protects the foetus from damage by any pressures acting on the mother's womb.