The Diphda Release - Perpetual Futures and Debt Pool Synthesis
The Diphda release will begin later today (3/17/22, ~07:00 pm UTC). Here's what's included in this release:
- SIP-80: Synthetic Futures: Creates a perpetual futures market that trades against the Synthetix Debt Pool, allowing traders to access 10x leverage on a dedicated trading platform, Kwenta.
- SIP-165: Debt Pool Synthesis: Merges the debt pools across all chains on which Synthetix is deployed, tracking the total synth debt with a chainlink oracle.
- SIP-213: Add AAVE and UNI to Optimism: Add sAAVE and sUNI synths to Optimism.
There will be two sets of downtime associated with the release:
Thursday 7 pm UTC: Deposit and withdrawals between L1 & L2 will be suspended while the system is updated.
Friday 5 pm UTC: L1& L2 issuance will be suspended (no minting, claim, burn) while the debt pools are synthesized
Perpetual Futures Beta - Read more
Synthetix's perpetual futures will enable a much expanded and capital-efficient trading experience by allowing both leveraged longs and shorts on a large selection of assets.
For SNX stakers, futures will provide an additional revenue stream due to exchange and funding rate fees and reduce the need to hedge the additional debt due to inherent self-hedging and controlled exposure through market size limits.
The initial Futures Beta Launch will feature ETH, LINK, and BTC trading. For the first few weeks, trading will have open interest caps of $20M sUSD for BTC and ETH and $2M for LINK to optimize futures market parameters under real-world conditions.
Debt Pool Synthesis - Read more
Merging the debt pools between L1 and L2 is necessary to provide maximum liquidity across the protocol and transfer synths between multiple chains efficiently via cross-chain messaging, rather than relying on automated market makers (which are limited by the depth of their liquidity pools and subject to slippage).
Here is a quick summary of the timeline
- Later today, Thursday at 7 pm UTC, Debt Pool Synthesis will release. This will begin the process of merging the debt pools.
- On Friday at 5 pm UTC, Chainlink oracles for debt pool tracking on L1/L2 will be activated. Effective immediately, the debt pools will have merged into one.
- Announcements will be made regarding the new unified debt pool composition to allow stakers to hedge their debt.
Any Questions?
This release is called Diphda, which like all releases, is named after a star (in order of visual magnitude). If you've got any comments or questions about the release, please join the conversation in Discord.