dailyhodl.com
A low market-cap coin is gaining recognition after printing 5,000% gains since April 2019.
Crypto analyst and investor Alex Saunders tells his 35,000 Twitter followers that he came across Synthetix (SNX) after attending the Edcon Conference in Sydney last year. Since then, he saw the upside potential of the coin.
“We were extremely early into a hidden gem & and it has been the best performing project in the best performing sector: decentralized finance.”
Synthetix is a derivatives trading platform built on the Ethereum blockchain that allows users to bet on a number of assets including stocks, crypto, fiat currencies, and commodities.
Those who wish to participate in the market can do so trading by their BTC or ETH into Synthetic Network Tokens (SNX), which can be locked up as collateral to produce synths such as the sUSD (synthetic US dollar). Traders who hold synths can bet whether a particular stock or currency will rise or fall.
What’s unique about Synthetix is that users who choose to stake their SNX tokens as collateral can earn rewards.
SNX’s value proposition of reducing circulating supply by introducing rewards, compelling users to stake massive amounts of coins, and enabling them to get exposure to other assets appears to be driving demand. Synthetix is currently the third-largest DeFi platform with over $259 million worth of assets locked. The cryptocurrency has a market capitalization of $154.2 million according to CoinMarketCap.