Transitioning to Synthetix V3: Scaling sUSD & Migrating SNX Synthetix is undergoing a pivotal phase of the V3 rollout, introducing a new foundation and architecture for the protocol. This transition also marks a significant step towards enhancing the scalability and decentralization of the Synthetix stablecoin, sUSD. Key Changes: - Accelerating Real Yield: V3 replaces inflationary SNX rewards with real yield from trading fees and a buyback/burn mechanism to reduce SNX supply. - sUSD Collateralization: sUSD will be backed by diverse assets like SNX, ETH, USDC, and yield-generating collateral, increasing scalability. - Simplified LPing: Delta-neutral design for Synthetix Perps & Spot Markets makes participation easier. sUSD Incentives (Starting Next Week): - @VelodromeFi (Optimism): +10,000 OP/week for sUSD/USDC liquidity - @CurveFinance (Ethereum): +20,000 SNX/week for sUSD liquidity pools Migration Plan: - June: Migration to V3 begins - Two Phases: 1. Ethereum Mainnet: SNX stakers migrate in June. 2. Optimism: Migration extends to Optimism SNX stakers post-Ethereum. Mechanics (SIP-306): - SNX Migration: Seamless transition from V2X to V3 without burning staker sUSD debt. - sUSD Migration: sUSD is upgraded in V3, backed by multiple assets for better stability and resilience. - sUSD & SNX in V2X will be migrated 1:1 in V3. Learn more in the next tweet.