SNXweave Weekly Recap 184
June 4, 2025
The following post contains a recap of news, projects, and important updates from the Spartan Council and Core Contributors from last week.
👉TLDR
- Staking Rewards Are Live
- Debt-free stakers now earn SNX rewards in the new frictionless model : no debt, no ratios, no liquidations.
- 5M SNX reward pool is live; stake now at 420.synthetix.io.
- Note: Only available to stakers with no debt, exiting the debt jubilee is one-way.
- Debt Jubilee Update: sUSD Staking Requirement Increased
- As of June 2, debt jubilee participants must stake 20% of original debt in sUSD to continue earning rewards (up from 10%).
- Non-compliance pauses rewards indefinitely until corrected.
- New stakers are unaffected — sUSD staking optional but still yields SNX rewards.
- sUSD Peg Update
- sUSD peg stability is critical ; sUSD staking requirement hike supports peg restoration to $1.00.
- Peg had dropped to ~$0.70 post-jubilee; 10% staking helped recover to ~$0.96.
- The new 20% target aims to finish the job and sustain protocol health.
- What’s Next
- 420 Pool goes fully operational, powering staking yields and protocol growth.
- Synthetix Perps are coming to Ethereum Mainnet for faster, cheaper, more composable trading.
- Legacy staking is sunsetted; all efforts focused on scalable, future-proof models.
- Community Note: Spartan Council Calls
- Now held biweekly on X (Twitter), starting June 4 at 22:30 UTC.
- Tune in for governance updates and protocol discussions!
Spartan Council and SIP updates
First, Simple Staking rewards are live and flowing! As of last week, stakers with no debt are earning rewards in the new simplified SNX staking model. This is designed to be frictionless, so no managing debt, no complex ratios, just straightforward participation and aligned incentives.
A quick reminder: these rewards are only for simple stakers with no debt. If you’re currently part of the debt jubilee and looking to transition, you’ll need to pay off your remaining debt to switch over. Remember, this is a one-way street — once you exit the debt jubilee, you may not be able to return. Choose wisely.
Stake your SNX now at 420.synthetix.io and start earning part of the 5 million SNX in rewards allocated for stakers. You can track real-time yields and manage your positions easily on the site.
Next, speaking of debt jubilee, we have some important news for legacy stakers with debt. Starting this past Monday, June 2nd, the sUSD staking requirement to continue receiving your debt jubilee has increased from 10% to 20% of your original debt. If you didn’t meet this new threshold by the 2nd, your jubilee rewards have been paused indefinitely until you comply.
New stakers without debt are unaffected by this change. You can stake sUSD to earn rewards if you choose, but it’s not a requirement for participation.
Raising the staking requirement to 20% for debt jubilee participants was done in support of the peg restoration and was ultimately part of a broader strategy to bring sUSD back to its $1.00 peg. It complements ongoing Treasury buybacks, liquidity incentives, and the Infinex campaign, which have all been working to stabilize and grow the ecosystem.
As a quick background, earlier this year SIP-420 introduced delegated staking to better fit the evolving needs of Synthetix. Alongside this came the debt jubilee, which aimed to correct past debt inflation from frontrunners, debt pool imbalances, and one-off events.
Unfortunately, many stakers dumped sUSD immediately after the jubilee, driving the stablecoin’s value down to around $0.70. This undermined the system and highlighted the responsibility that SNX stakers carry in managing the protocol’s health.
To combat excess sUSD supply, the protocol set a requirement that SNX debt holders maintain a certain ratio of sUSD deposits in the 420 Pool relative to their debt. Starting at 10%, this helped push the peg back to about $0.96. But reaching $1.00 has remained a bit tricky, hence the increase to 20%.
With the peg restored, Synthetix will be better positioned to accelerate two core initiatives:
- 420 Pool Operationalization: Unlocking yield opportunities and fueling the staking flywheel
- A Synthetix perp on Ethereum Mainnet: A low latency and high throughput perp venue that settles directly to Eth mainnet.
Legacy staking has been sunsetted due to its persistent challenges, but the new staking models are designed to empower a more scalable, sustainable future.
In short, if you’re part of the debt jubilee, make sure to stake 20% of your original debt in sUSD to continue receiving rewards. Otherwise, your jubilee pauses until this requirement is met. New and legacy stakers without debt can stake sUSD at any time to earn SNX rewards. Track APYs and start staking at 420.synthetix.io.
And as always, thank you to the Spartans who have taken prompt action to support the sUSD peg and strengthen the protocol. Your participation is key to Synthetix’s ongoing growth and success, and the protocol now has a clear path forward to start earning yield in the 420 pool and launch the V4 perps on Ethereum Mainnet. Soonthetix!
Lastly — just a quick note about Spartan Council community calls — they will remain biweekly but will be held on X from now on, starting today (June 4th) at 22:30 UTC. We’ll see you there!