Synthetix Aims to Ease DeFi Adoption; SNX Price Rose Significantly
Synthetix, a decentralized derivative protocol, became the latest crypto project aiming to close the usability gap between centralized and decentralized exchanges. It further plans to launch Synthetix v3 protocol and a decentralized exchange, which will be known as Infinex.
In an interview with a renowned crypto media outlet, Kain Warwick, the founder of Synthetix, highlighted that Infinex is a decentralized perpetual futures exchange front end that enables trading on optimism, which was the “missing component” earlier. It is predicted that feature of trades on optimism could bring more users to DeFi after its launch in Q4 2023.
“It is believed that in terms of trading, Decentralized finance is quite similar to centralized finance.” The Synthetix team assured that Infinex will be among the growing roster projects and will ultimately increase the usability of DeFi protocols.
On Thursday, September 7, a new protocol, Bumper, was launched with a motive to protect users’ holdings from crashes by pricing contract premiums based on actual volatility rather than previous volatility.
On September 6 Wednesday, the Chief Executive Officer of DyDx Foundation quoted in an interview session that dYdX is planning to launch a purely decentralized order book to address the slow performance of on-chain order books.
Features That Make Infinex Unique
Discussing further about the launch, Kain said that the primary focus of Infinex will be to enable hassle-free access to decentralized perpetual by eroding friction points, likewise convoluted accounts control and having to sign off particular transaction.
Moreover, Infinex will offer all features similar to a centralized exchange and will be backed by a decentralized infrastructure. In mid-March 2023, Sid Powell, the co-founder of Maple Finance, pointed out that institutional adoption of DeFi could only be achieved by reducing the friction for them.
Other decentralized exchanges such as dYdX and Uniswap have already adopted the concept. He added that Infinex is quite similar to Uniswap style permissionless pool.
Synthetix’s Recent Announcement Triggers Surge in SNX price
Since September 4, 2023, constant buying pressure and bullish dominance have been observed. A surge of 10% is seen in the SNX trading price. As per market analysts, the solid bullish momentum is due to the launch of Infinex.
In the 52-week time frame, SNX peaked at $3.390. Its lowest trading price was $1.396. At the time of publication, SNX was trading below 50,100 and 200-day EMAs, and at the same time, it was trading above 20-day EMA.
The MACD indicator suggests that a significant amount of investors are accumulating above the histogram. However, RSI also reflects positivity, and a further surge in the SNX trading price is possible.
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational ideas only and do not establish financial, investment, or other advice. Investing in or trading crypto or stock comes with a risk of financial loss.
