SNX: Powering Synthetic Assets in DeFi
SNX is the native token of Synthetix, a decentralized finance (DeFi) platform that allows users to create and trade synthetic assets on the blockchain. These synthetic assets, known as “Synths,” represent real-world assets such as currencies, commodities, and even cryptocurrencies.
Launched in 2018, Synthetix operates primarily on the Ethereum blockchain. SNX tokens are used as collateral to mint synthetic assets, ensuring the system remains stable and secure. In return, token holders can earn rewards from transaction fees generated on the platform.
The main goal of Synthetix is to provide global access to financial markets without traditional intermediaries like banks or brokers. By using blockchain technology, SNX helps create a transparent, permissionless, and innovative financial ecosystem.
As DeFi continues to grow, SNX plays an important role in expanding the possibilities of digital asset trading.