2024-08-19
Synthetix is a decentralized finance
(DeFi) protocol built on the Ethereum blockchain that enables the creation and
trading of synthetic assets.
Synthetic assets, or
"Synths," are blockchain-based assets that represent real-world
assets in the platform including cryptocurrencies, fiat currencies,
commodities, and stocks.
These assets mimic the price of their
real-world counterparts and allow users to gain exposure to them without
actually holding the underlying asset.
According to a blog post on July 19,
2024, Synthetix team introduces a blockchain network called Snax chain for its
users.
The Snax chain was created on April 28,
2024 and it sets to go live on September 15, 2024. It built using OP Stack.
So, the blockchain is an Ethereum
layer-2 scaling solution using technology from Optimism.
Synthetix said that the current
elections system for Synthetix V2X is limited to Optimism Mainnet, causing
inefficiencies in governing deployments across multiple networks. Synthetix
team wants to create a blockchain that operate independently.
Snax chain will be used for governance
of Synthetix V3, the main hub for SNX staking and fee collection.
It can host deployments of Synthetix
V3, Perps, and Orderbook Perps.
Additionally, Synthetix Chain is
expected to integrate with the Optimism Superchain for the benefits of
interoperability (crosschain liquidity & trading).
