IMPORTANT UPDATE TO sDEFI: I just found out on July 30th, 2020, the composition of weighted tokens tracking in the sDEFI index shown in this video will be updated. Please be aware if you buy sDEFI before July 30th, the composition of sDEFI will be auto-converted to what you find in this blog post: https://blog.synthetix.io/sdefi-scex-rebalancing/
This is an introduction to how the Synthetix DEX (https://synthetix.exchange/#/trade/sDEFI-sUSD) works and specifically how I bought this index tracking a basket of DeFi related tokens.
Synthetix is one of the most popular projects in DeFi. The underlying utility behind Synthetix is to provide on-chain exposure to any asset, which means a protocol for trading synthetic assets on Ethereum. Imagine gaining exposure to any cryptocurrency (including those not powered by Ethereum) as well as Forex like JPY and GBP, commodities like silver and gold, indices like the Nikkei 225, and new, creative synthetic assets like an index of DeFi related tokens or centralized exchange tokens.
Trading on Synthetix is like any DEX on Ethereum: it only requires an Ethereum wallet like MetaMask, no KYC, no minimum, and no geo restriction. sUSD is the decentralized overcollateralized stablecoin behind Synthetix. The rest of the synths (synthetic assets) powered by Synthetix are ERC20 tokens that trade against price oracles powered by Chainlink.
Here’s everything I cover in the video:
⚔️ What is Synthetix and what makes it so special as a DEX on Ethereum
⚔️ What synthetic assets trade on Synthetix Exchange
⚔️ What is the sDEFI index token
⚔️ Getting started with Synthetix Exchange and buying sUSD to start trading
⚔️ How to buy sDEFI using my sUSD on Synthetix Exchange
⚔️ Tracking my synths
⚔️ How to exit my sDEFI position
⚔️ Recap of risks and how to buy smart contract protection using Nexus Mutual
Helpful Resources:
🛠️ To learn more about the sDEFI index token, go to: https://synthetix.exchange/#/synths/sDEFI
🛠️ To try Synthetix Exchange, go to: https://synthetix.exchange/#/trade/sDEFI-sUSD
🛠️ To buy/sell sUSD in one of the most liquid stablecoin pools, go to: https://www.curve.fi/susdv2/
🛠️ To buy smart contract protection for the value of your assets deposited into Synthetix, go here and use the contract address synthetix.nexusmutual.eth: https://app.nexusmutual.io/#/SmartContractCover
🛠️ To learn more about the Synthetix protocol: go to: https://www.synthetix.io/
🛠️ To track live stats on the synths trading on Synthetix, go to: https://dashboard.synthetix.io/
🛠️ To join the Synthetix community in Discord, go to: https://discord.gg/AEdUHzt
🛠️ On July 30th, anyone still holding sDEFI or iDEFI will be converted to the new index compositions according to this tweet from Synthetix: https://twitter.com/synthetix_io/status/1281070978198499330?s=20
📺 For more DeFi tutorials like this, please subscribe to DeFi Tutorials with DeFi Dad on Youtube and follow @DeFi_Dad on Twitter at https://twitter.com/DeFi_Dad
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Disclaimer & Risks: Synthetix did not pay me to produce this video. This is not financial advice and you should approach all DeFi applications, wallets, protocols, and tools with caution. Please be aware there is always risk in using DeFi, including technical risks (ie smart contracts hacks), financial risks (ie liquidity crises), and potentially admin risk (admin key compromise, governance vulnerabilities). Also there is risk whenever using leverage (if it’s ever used), and there’s risk of the dollar-peg failing in any stablecoin, such as sUSD.
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