Synthetix Unveils Plans for a New Derivatives DEX, Infinex

Synthetix Unveils Plans for a New Derivatives DEX, Infinex

Synthetix's Debut of New Derivatives Front-End: Infinex

Synthetix, a distinguished project in the decentralized finance (DeFi) sector, has set plans in motion to extend its breadth of associated products. At the helm of the venture, Kain Warwick, the founder of Synthetix, has revealed his plans to bring a novel derivatives front-end called Infinex to the decentralized trading landscape fostered by Synthetix. The forthcoming exchange, dubbed Infinex, has been crafted to suit the needs of both trading rookies and veterans. Like centralized exchanges (CEX), one of its hallmark features is a non-custodial central limit order book.

Challenges with the Current Platform and the Promise of Infinex

Although Synthetix currently initiates Kwenta, a derivatives decentralized exchange (DEX) built on Optimism, Warwick pinpointed three major pitfalls in the existing platform. For starters, traders are obligated to bridge assets to the layer-2 rollup and trade them for Synthetix's sUSD stablecoin, serving as margin collateral, before any trading activity can commence. Warwick has also nuanced the displeasure around the fact that each order placement or cancellation on the current platform demands the trader's wallet signature, thereby incurring a minor fee.

Non-Custodial Decentralized Exchanges: Advantages and Innovations

In his blog post, Warwick underlines a vision to dispel any doubts about the capacity of decentralized Perpetuals (Perps) to contend on par with their centralized counterparts. The blog post goes on to playfully mock now-defunct FTX and other centralized exchanges for their inherent counterparty risks, with Warwick specifically noting FTX's dramatic downfall last fall.

Infinex: An Intuitive Trading Experience with Heightened Security

The upcoming DEX, Infinex, is designed for users comfortable with platforms like Binance. It will require nothing more than a basic username and password for access while keeping the non-custodial character intact. Warwick shares that Infinex will generate a distinct public-private key combination for each user, saved locally in the user's browser, used solely for approving trade orders and not withdrawals.

Looking Forward: Synthetix's Future Plans

The technical specifics of the DEX implementation remain under wraps, with Warwick mentioning during a Synthetix Discord ‘Ask Me Anything’ that the core developers are in charge of this. Accompanying the introduction of Infinex is the expected rollout of Synthetix's version 3 of its perpetual futures trading system, projected to transpire in a few months.