Synthetix Perps Markets Shift

Synthetix announced that its perpetual markets on Arbitrum are transitioning to close-only mode. Traders will no longer be able to open new positions or increase existing ones.

This move is part of Synthetix’s strategy to consolidate operations and focus on Coinbase’s Base network, as they sunset Arbitrum’s USDx, essential for perpetual trading. Management of USDx will fall under the Synthetix Treasury, which is currently purchasing USDx from the market and creating a wrapper for enhanced stability and liquidity.

> “This decision follows the sharp pivot in Synthetix’s product strategy to vertically integrate rather than exist solely as a platform,” the project stated.

Synthetix Perps is a decentralized perpetual futures trading platform built on the Synthetix protocol, facilitating users’ ability to trade various synthetic cryptocurrencies with leverage. Its version 3 functions on both Base and Arbitrum, which are Layer 2 optimistic rollups on Ethereum.

Last month, Synthetix v3 recorded a trading volume of $274 million on Base, while Arbitrum’s version accounted for $86.2 million in the same period.

Synthetix has encouraged liquidity providers on Arbitrum to migrate their positions to Base, with additional incentives available for a limited time. Existing positions will remain active during the deprecation process, giving traders the flexibility to close or reduce them at any time.

The project also plans to integrate acquired ecosystem projects, such as Kwenta and TLX, into a unified native trading platform.