Pyth Retrospective Airdrop

Introduction

In December 2022, Synthetix Perps integrated with Pyth Network Oracles following the launch of Perps V2. This decision, guided by the Synthetix community through governance proposal SIP-285, enabled using Pyth Oracles starting with the ETH-Perps market. 

One year later, this move has enabled Synthetix Perps to support over 80 markets, achieve over $40 billion in trading volume, and generate tens of millions in trading fees. This integration has made Synthetix Perps fees competitive with those of centralized exchanges and supported the onboarding of thousands of onchain Perps users.

Pyth Retrospective Airdrop to Synthetix

Synthetix is a recipient of the Pyth Retrospective Airdrop. This, along with the initial airdrop to Synthetix Perps users, strengthens the partnership between Pyth and Synthetix.

To promote active governance in Pyth Governance and strengthen the alignment between our communities, Synthetix will distribute this airdrop to community and governance members, encouraging their involvement in Pyth Governance. Additionally, community contributors and V3 developer grants will be included in a future distribution.

Perps V1 vs. Perps V2 Case Study

The primary upgrade from Perps V1 to Perps V2 was the implementation of Pyth's fast off-chain oracles, leading to greatly reduced trading fees. Perps V1 relied on slower oracles, requiring higher fees to neutralize frontrunning, which limited trading volume to $5 billion. Perps V2, with Pyth's low latency off-chain oracles, lowered fees to 2bps to 10bps, boosting trading volume past $40 billion.

Future Plans

With the upcoming Andromeda Release, Synthetix will eliminate its dependencies on slow oracles and primarily utilize Pyth's Oracles to support Synthetix V3 and Perps V3. This upgrade will introduce many new features, including an improved trading mechanism with new pricing and settlement features, cross-margin, MEV-resistant liquidations, and NFT-based account controls.

Try Synthetix Perps

Traders are encouraged to try Synthetix Perps on Kwenta and Polynomial, powered by Pyth Network Oracles. For more information on Pyth's role in DeFi and its oracle solutions, visit Pyth Network, Pyth Price Feeds, Pyth Benchmarks, Pyth Airdrop Claim.