DeFi project Synthetix raises $3.8 million

Posted 29 October, 2019


Synthetix, a decentralized finance (DeFi) project built on the Ethereum blockchain, has raised around $3.8 million in new funding. According to the announcement made on October 28, 2019, Synthetix revealed that Framework Ventures has backed its operations by purchasing 5 million Synth (SNX) tokens. Several other large companies that chose to remain anonymous also participated in the round of financing.

Synthetix, which provides access to synthetic forms of fiat currencies, cryptocurrencies, and commodities. One SNX token is currently priced at around $0.76.

According to Michael Anderson, the co-founder of Framework Ventures, Synthetix has an infinite liquidity model that gives it a huge advantage over its competitors.

“Synthetic assets are a financial primitive that enables inclusion and innovation beyond traditional financial markets, and will likely present the next leg up in DeFi.” -  Anderson said.

Also, analyst Matteo Leibowitz, published a detailed report on Synthetix, saying that despite the project’s increasing popularity, the mechanisms used to guarantee the value of minted synthetic products are largely deficient, exposing SNX token holders to significant risk.

“If Synthetix is to succeed in the coming years, the integration of a liquidation process, more liquid collateral types, and some kind of monetary policy tools are a must.” - Leibowitz said at the time.

Previous story

30 October, 2019 10:42

← Johannesburg refuse to pay hackers’ Bitcoin ransom

Authorities in Johannesburg are scrambling to gain control of the city’s cyber networks. Johannesburg city council member said the hackers gained access to the city’s computer systems. They are demanding payment in bitcoins.

Johannesburg refuse to pay hackers’ Bitcoin ransom

Next story

29 October, 2019 13:21

Miners have lost interest in Bitcoin Cash →

Bitcoin Cash (BCH), a hard fork of the Bitcoin, went close to a 51% attack only recently when an unknown miner gained as much as 50 percent of the total hashrate.

Miners have lost interest in Bitcoin Cash
Write a comment
 
Prove you’re not a bot + 8 = 23