The decentralized trading protocol for derivatives and synthetic assets, Synthetix, has started trading on Optimistic Ethereum’s level 2 scaling platform.
The long-awaited launch was announced by the Synthetix protocol exchange Kwenta on July 30th. It enables the exchange to offer faster transactions and lower fees with optimistic roll-up technology.
Initially, only four synthetic assets will be available for trading on layer two – sUSD, sETH, sBTC and sLINK. The data gathered from this alpha launch and testing phase will enable the protocol to optimize synthesizer trading on layer two and prepare for beta launch, the announcement said.
Layer two trading offers users an estimated 50x reduction in gas charges and “blazing fast transaction speeds”.
IT’S FINALLY HERE !! @chainlink and @synthetix_io are now live on L2! WOOOO! https://t.co/IDbawgZrh6
– Optimism (@optimismPBC) July 29, 2021
The Synthetix community will monitor early performance on the scaling platform and gradually tune additional synthetic assets for trading as they see fit.
Optimistic Ethereum (OΞ) uses roll-up technology that assumes that all transactions are correct rather than verifying each one. Users only need to intervene when they see an erroneous transaction that they can submit “proof of fraud” to.
Earlier this month, Uniswap announced the launch of its version 3 on the Optimistic Ethereum platform.
It feels surreal to finally be here! The DeFi summer version 2.0 OΞ begins.
– kain.eth (@kaiynne) July 29, 2021
In a related development, the Synthetix-based Thales platform has just been introduced. Thales is a DeFi platform that enables binary options trading and allows traders to speculate on the price movement of the underlying market or crypto-asset. There are two possible outcomes which is why they are considered binary.
Related: Thales raises $ 2.5 million for the binary options platform in the Synthetix ecosystem
The Thales DApp offers more than 60 different assets including cryptocurrencies, commodities, stocks and index products to create markets, mint binary option tokens and trade on the platform.
Some Olympic test sports markets have been introduced that allow users to rely on variables such as “Will the US win the most gold medals?” to bet. or “Will Australia’s men’s basketball team win the gold medal?” The answers are binary with a yes or no result that can be bet on with an sLONG or sSHORT token.
On the subject of Layer 2, the Loopring DEX has announced a collaboration with the Layer 2 solution provider StarkWare. The partnership has introduced a cross-L2 automated market maker that distributes liquidity across multiple levels, called dAMM, where the “d” stands for “decentralized”. Loopring has predicted that the platform will become “one of the most basic primitives for scaling DeFi”.