Synthetix (SNX) is an innovative decentralized finance platform that enables users to generate new digital assets by locking SNX coins as collateral, replicating real-world and cryptocurrency assets such as the US dollar or Bitcoin. These newly created assets, known as synths, track the value of other assets through data feeds called oracles. Users can trade these synths without the need for a specific institution and are exposed to market fluctuations. Synthetix stands out as a prominent project in the DeFi sector, providing users with a wide range of financial opportunities. This article aims to address two common queries: What is Synthetix (SNX), and how can one purchase Synthetix (SNX) using TRY?
Overview
Synthetix is a decentralized finance (DeFi) software platform that empowers users to generate new cryptocurrencies that replicate real-world assets like the US dollar and cryptocurrencies like Bitcoin. Operating through smart contracts on the Ethereum Blockchain, Synthetix functions without the involvement of a financial intermediary, relying solely on code execution. This eliminates the need for trust in a specific entity, placing reliance on the code’s intended operation. Synthetix achieves this through a process called collateralization, where users acquire the platform’s native SNX coin and lock it into a specialized contract to mint synths. For instance, a synth reflecting the US dollar’s value is called sUSD, while a synth mirroring Bitcoin’s price is named sBTC. These synths can represent any asset, including commodities like gold or currencies like the Euro or South Korean won. By utilizing oracles to track the value of assets, users can experience market gains or losses.
Creation and Trading
To create a synth, users must acquire SNX and deposit it into the Synthetix platform, resulting in the minting of a chosen synth token. The locked SNX’s value must be maintained at or above 750% of the minted synth’s value as per platform regulations. This collateralization ratio ensures the stability and backing of synthetic assets. The value of SNX, similar to other cryptocurrencies, fluctuates based on market conditions. Consequently, the number of synths in circulation may vary with SNX’s price. An increase in SNX’s price releases excess SNX coins, which can be locked again to generate more synths.
Synthetix employs oracles for pricing synths and facilitates a distinctive trading system. When a user exchanges one synth for another, the first synth is “burned,” and the second synth is created based on the oracle’s price feed. This peer-to-peer contract trading system enables users to trade synths instantly at the specified price without requiring a central exchange or large order volumes.
Conclusion
As of August 2020, Synthetix is a leading DeFi project with over 800 million dollars locked in its contracts. The platform continues to expand by introducing new features and enhancing its infrastructure. A higher SNX price allows for more synths to be created, thereby increasing liquidity and user engagement. Synthetix’s capability to create and trade decentralized assets without intermediaries establishes its significance in the DeFi space, offering users a broad array of financial opportunities and flexibility.
How to Buy Synthetix (SNX) with TRY?
Binance TR is a preferred cryptocurrency exchange for Turkish investors looking to purchase Synthetix (SNX). On Binance TR, users can easily create an account and access over 100 cryptocurrencies, including SNX, for buying and selling. To acquire Synthetix (SNX) using TRY on Binance TR, follow the steps outlined below.
Account Creation
Opening an account on Binance TR is straightforward. Visit trbinance.com and proceed with the “Create Account” step. Enter essential information such as email address, phone number, name, date of birth, nationality, and T.C. identity number in the account creation process. Verify the provided information through email/sms verification and proceed to identity verification (KYC).
Identity Verification
Identity verification on Binance TR is a necessary security measure for trading cryptocurrencies and account creation. Perform the verification process either through the Binance TR website or from your phone. Scan the QR code with your phone’s camera to continue the verification process on your phone.
Deposits
Deposit TL into your Binance TR account from major Turkish banks like Vakıfbank, Ziraat Bankası, İş Bankası, Akbank, Fibabanka, Şekerbank, and Türkiye Finans. Deposits from other banks can be made 24/7 up to 50 thousand TL using FAST. For deposits over 50 thousand TL from other banks, processing occurs during EFT hours.
Purchasing SNX Coin
After completing the deposit process, proceed to purchase SNX coin with TL by clicking on the “Buy-Sell” option on the Binance TR website. Type “SNX” in the search section and select the SNX/TRY option. Enter the desired price and quantity of SNX to buy, then complete the purchase by clicking on “Buy SNX.”
Binance TR Overview
Binance TR, launched by the world’s largest cryptocurrency exchange, Binance, in 2020, caters to Turkish investors seeking to trade cryptocurrencies. Based in Istanbul, Binance TR provides fiat-to-crypto and crypto-to-crypto trading services leveraging Binance’s technology, security measures, and liquidity. Users can deposit and withdraw Turkish lira (TRY) via direct bank channels and trade various cryptocurrencies with TRY trading pairs on Binance TR.
In conclusion, Binance TR offers users access to market-leading spot trading liquidity, advanced security protocols, custody solutions, and risk controls. It serves as a reliable platform for Turkish investors to engage in cryptocurrency trading. For more updates on financial and business news, visit COINTURK FINANCE. Please note that the information provided in this article does not constitute investment advice, and investors should conduct their own research due to the high volatility and risk associated with cryptocurrencies.
