Synthetix is a decentralised exchange and a platform for synthetic assets. Synthetic assets (or synths) track the price of the underlying asset and allow holders to gain exposure on Ethereum to various assets without the need to hold the actual underlying assets. There are currently 5 categories of synths available: fiat- and cryptocurrencies, inverse cryptocurrencies, commodities and cryptocurrency indexes. Synths are backed by the Synthetix Network Token (SNX) meaning that whenever synths are issued, SNX tokens are locked up in a smart contract.
SNX stakers can earn rewards in several ways, such as by getting exchange rewards for trading synths. There are also staking rewards that come from the protocol’s inflationary monetary policy.
The platform tracks the underlying assets using smart contract price delivery protocols called oracles. Synthetix allows users to trade synths seamlessly, without liquidity/slippage issues. It also eliminates the need for third-party facilitators. Since launch, the protocol has transitioned to the Optimistic Ethereum mainnet to help reduce the gas fees on the network and lower oracle latency.
Check out this article to choose the most convenient way to buy cryptocurrencies, including SNX.
NB: For SNX transfers, NearPay supports ERC-20 network only. All the funds sent via other networks (e.g. BEP-20 etc.) will be lost forever.