Synthetix V3 Migration: Treasury Council Initiates Transition

The Treasury Council has begun migrating to V3, as detailed in SIP 304, marking the primary section of the Synthetix V3 transition. Staker migration to V3 is anticipated to open in 2-3 weeks. This replace introduces vital adjustments to the ecosystem, notably in how liquidations are dealt with.

The Treasury Council has begun migrating to V3, as detailed in SIP 304, marking the primary section of the transition to Synthetix V3. Ethereum Mainnet (L1) staker migration to V3 is anticipated to open in 2-3 weeks. This replace introduces vital adjustments to the ecosystem, notably in how liquidations are dealt with.

Key Modifications for L1 Stakers on V2X

Rapid Liquidations: SNX staker liquidations will now happen instantly when a place crosses the liquidation ratio. The earlier 8-hour delay has been eliminated.New Liquidation Course of: When a staker is liquidated on Ethereum, their debt and SNX are transferred to V3.V3 Staker Absorption: V3 stakers will take up each the liquidated SNX and the related debt. Presently, the one V3 staker is presently the Treasury Council.Direct SNX Distribution: Liquidated SNX shall be distributed on to stakers fairly than going into escrow and robotically staked.

Ongoing Interactions

The V2X and V3 techniques of Synthetix will proceed to work together through the transition:

V2X debt will increase will have an effect on the V3 legacy market.Cross-chain synthesis between Ethereum and Optimism will stay in place.

Upcoming Modifications in Section 2 & Future Actions for Stakers

Suspension of minting/staking/issuing sUSD on Ethereum L1Suspension of self-liquidation & account merging on Ethereum L1Implementation of sUSD to V3 sUSD bridge.Suspension of debt bridge between L1 and L2

Necessary Notes for SNX Stakers

Whereas SNX can nonetheless be moved to L2, any related debt should be repaid first.No speedy motion is required from SNX stakers presently.Detailed migration directions shall be offered earlier than Section 2 begins. Customers won’t be power migrated, customers can have the choice to take action as soon as a UI is launched.

Keep tuned for additional updates and directions as we progress by way of this transition to Synthetix V3. Be a part of the Synthetix Discord to hitch the dialog.