Synthetix Unveils Perps V3 on Base Blockchain, Revolutionizing Crypto Derivatives Jan 25, 2024 Jan 25, 2024 Kelly Cromley http://1AZFjzw2#Nwf63pYaMWq#xIY
Market NewsJanuary 25, 2024 by Kelly Cromley

Synthetix Unveils Perps V3 on Base Blockchain, Revolutionizing Crypto Derivatives

Synthetix, the decentralized cryptocurrency derivatives marketplace, has successfully implemented the V3 iteration of its perpetual contracts protocol on Base, an Ethereum Layer-2 blockchain developed by Coinbase.

The deployment of Perps V3 on Base marks a significant stride for Synthetix, simplifying the process of introducing new derivatives products for developers working on Base and enhancing trading experiences on Synthetix-supported exchanges such as Kwenta, Polynomial, and dHEDGE, as highlighted in the company’s recent statement.

Synthetix envisions a continuous rollout of additional products for Synthetix V3 on Base over the coming months. One notable introduction is the perpetual futures exchange named Infinex.

According to Synthetix Founder Kain Warwick, despite the advancements in decentralized crypto trading, the sector is yet to match the level of activity witnessed on centralized platforms. In Warwick’s words, “The problem is, we’re still using centralized infrastructure for most crypto transactions. Most crypto activity is not leveraging the decentralized technology we’ve built.”

The launch of the Perps V3 product aligns with the ongoing Synthetix V3 system upgrade, a development that has been in progress since late last year. Synthetix reported that the prior version, Perpetuals V2, introduced in January of the previous year, has facilitated trading volumes exceeding $43 billion and has attracted participation from tens of thousands of unique traders.

Perps V3 introduces notable improvements for both traders and developers. One significant enhancement is the incorporation of alternative forms of collateral for liquidity providers, including USDC, sUSD, sETH, and sBTC. This marks a departure from the previous requirement of using Synthetix’s native token, SNX, as collateral.

Additionally, the updated protocol includes new features such as cross-margin capabilities, delegation of account permissions, and refinements in the liquidation and settlement mechanisms.

Cavalier, a Synthetix Core Contributor, shared insights into the long-term vision for Synthetix, suggesting that the ultimate goal could be to govern and generate fees from a diverse range of collateral across multiple blockchain networks.

In summary, Synthetix’s deployment of Perps V3 on the Base blockchain represents a pivotal moment for the cryptocurrency derivatives market, promising increased accessibility, improved functionalities, and a strategic roadmap for future developments.

AuthorKelly Cromley

Kelly is our in house crytpto researcher, delving into the stories which matter from blockchains being used in the real world to new ico coming out.