Synthetix is an Ethereum-based DeFi protocol that enables the issuance and trading of synthetic assets. Established in 2018 by Kain Warwick, Synthetix is one of the leading DeFi protocols in the crypto market. It was one of the first to introduce non-blockchain assets to the crypto world, making the market more diverse, mature, and complex.
At the time of writing this, the total value locked in Synthetix is $245.7 million.
A synthetic asset in Synthetix is called Synth. Since synthetics are inherently derivatives, Synthetix lets users gain exposure to and benefit from the price movement of non-blockchain assets. To generate new synths, users need to deposit ETH or SNX (the native token of Synthetix) as collateral on the platform. The synths can be traded on Kwenta, Synthetix's own DEX, or other DEXes on the Ethereum blockchain.
SNX is the native token of Synthetix that is designed for both utility and governance. The maximum supply of SNX is 291,657,310. The circulating supply is 238,500,594.39.
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