Buy Synthetix in the UK

Why do investors buy Synthetix Network Token? If you are interested in cryptocurrencies and decentralised finance (DeFi), Synthetix Network Token (SNX) is an interesting project worth looking into. But what exactly is SNX, and why would someone consider adding it to their portfolio?

What Is Synthetix Network Token (SNX)?

Synthetix is, as the name suggests, a platform built on the Ethereum network for issuing synthetic versions of real world assets – what they call ‘synths’. This includes everything from other cryptocurrencies, to fiat currencies, commodities and real world stocks such as Netflix, Apple and Tesla.

SNX is the native token of the Synthetix protocol, a decentralised platform that enables the creation and trading of these synthetic assets.

Think of them as digital representations of real-world assets, such as stocks, commodities, or fiat currencies. These synthetic assets aim to mirror the price movements of their underlying counterparts without requiring direct ownership.

How Does Synthetix Work?

Collateralisation

SNX holders can lock their tokens as collateral to mint synthetic assets. The more SNX they stake, the greater their borrowing power. This collateralisation mechanism drives the price alignment and integrity of the system.

Synthetic Assets

Users can create synthetic assets (called Synths) by staking SNX. These Synths track the value of various assets, including cryptocurrencies (e.g., sUSD, sBTC), commodities (e.g., sGold), and even stock indices (e.g., sFTSE100)

Trading

Once minted, Synths can be traded on the Synthetix exchange. Traders can speculate on price movements without needing to hold the actual assets. For example, if you believe the price of gold will rise, you can buy sGold Synths.

Why Consider SNX?

Diversification

SNX allows investors to diversify their portfolios beyond traditional cryptocurrencies. By holding Synths pegged to different assets, users gain exposure to various markets without the complexities of direct ownership.

No KYC/AML

Unlike centralised exchanges, Synthetix has some unique features (being a decentralised crypto exchange), such as:

1. DeFi platforms are not in line with the AML legislation under FCA, in that you are not required to share personal information and transactions are not transparent or monitored.

2. You can trade with anyone, anywhere, anytime. You don’t have to follow the rules or regulations of the exchange or the government, such as the FCA.

Yield Farming

Staking SNX in the Synthetix ecosystem earns rewards in the form of SNX inflationary rewards and Synth exchange fees. Yield farmers can maximise their returns by participating in liquidity pools.

Hedging

Synths provide an excellent hedging tool. If you’re worried about a market downturn, you can mint synthetic stablecoins (like sUSD) to protect your portfolio.

Conclusion: Synthetix Network Token (SNX)

In summary, Synthetix Network Token (SNX) unlocks a world of synthetic assets, offering diversificationand yield opportunities. As DeFi continues to grow, SNX remains a fascinating project worth exploring.

How to buy Synthetix (SNX)

To buy Synthetix (SNX) on CoinJar, follow these convenient steps:

Sign up to CoinJar: Download the CoinJar app on iOS or Android.

Create an account and verify your ID. UK residents must complete an assessment and wait for 24 hours (see more details below).

Deposit Funds: Transfer funds from your bank account.

Able to buy Your First Crypto: Once your account is funded, you can buy SNX along with almost 50 other cryptocurrencies using cash or credit card.