The DeFi protocol Synthetix, which allows users to create and trade Synthetic Assets, has its stablecoin sUSD continuing to deviate from its $1 peg since late March, despite official rescue measures. At the time of writing, sUSD is reported at $0.87, with a market cap of $30.28 million.
Korean Digital Asset Exchange Association Lists SNX as Trading Warning Commodity
Currently, sUSD's primary collateral is Synthetix protocol's native token SNX, with the protocol only allowing other Synths (such as sETH, sBTC) as collateral under certain conditions, ultimately tracing back to SNX staking.
Facing the continued decoupling of sUSD, the Korean Digital Asset Exchange Association (DAXA) recently announced marking Synthetix's native token SNX as a potential risk asset. Major Korean cryptocurrency exchanges Upbit and Bithumb have also suspended SNX deposit services and added trading warning labels, cautioning investors to proceed carefully.
Note: As a self-regulatory organization in the Korean digital asset industry, DAXA's designation of SNX as a trading warning item means the asset will undergo strict evaluation to determine whether trading will continue or if it might be delisted.
Upbit officially explained that they are continuously monitoring the sUSD decoupling issue, believing that SNX, as sUSD's collateral, may cause investor losses due to price volatility. After internal assessment, they consider SNX might increase investment risk. The exchange further emphasized they will conduct a comprehensive review to assess whether to terminate SNX trading support or restore it after the decoupling issue is resolved.
However, while Bithumb has also announced suspending SNX deposits, they stated this decision is not permanent. If the sUSD decoupling issue or other related risks are properly addressed, the exchange will consider lifting restrictions and restoring normal deposit and trading functions for SNX.
SNX Continues to Rise
Interestingly, despite the ongoing sUSD decoupling, SNX's price seems largely unaffected.
According to CoinMarketCap data, SNX is currently priced at $0.7557, generally following Bitcoin's trend and even showing more strength, with a weekly increase of 19%. The two Korean platforms listing it as a warning token apparently hasn't created significant selling pressure.
