Synthetix to go head-to-head with dYdX, Aevo with new DEX proposal

Synthetix-powered exchange Infinex plans to drive revenue to SNX stakers

article-image

LorenzoPeg/Shutterstock modified by Blockworks

share

Synthetix, one of crypto’s DeFi originals, is poised to add to its affiliated product suite.

Founder Kain Warwick announced plans for a new derivatives front-end to its decentralized trading infrastructure, dubbed Infinex.

The new exchange will be aimed at inexperienced and advanced traders alike, but with features that match those found on centralized exchanges including a non-custodial central limit order book.

Synthetix already has a derivatives DEX on Optimism, called Kwenta, but Warwick identified three main problems with the existing offering. For example, to get started, traders must first bridge assets to the layer-2 rollup, swap for sUSD — Synthetix’s own stablecoin, which is used as margin collateral.

Worst of all for those used to a centralized exchange experience, each order or cancellation must be signed by the trader’s wallet, paying a small fee in the process.

“The objective is to erase any doubts about whether decentralized Perps can compete directly with CEXs,” Warwick wrote in a Friday blog post.

There are benefits to being on a non-custodial decentralized exchange, and Warwick pokes fun in the post at the now-defunct FTX and other centralized exchanges for their unique counterparty risks. FTX collapsed last fall in dramatic fashion. 

“It’s become increasingly clear that the impediments to Synthetix Perps growth can be resolved, but this will require a new approach,” he opined. “It requires Infinex.”

The proposed DEX will be tailored to meet the expectations of traders who use venues like Binance, requiring only a username and password to access, while remaining non-custodial.

“Infinex generates a new public-private key pair for each user and stores it client-side in the browser,” Warwick wrote, noting the key would only be used for signing trade orders, not to withdraw funds.

The technical implementation details of the DEX were not disclosed. Warwick indicated in an AMA on the Synthetix Discord that they were left to Synthetix’s core developers.

New upstart Aevo uses an optimistic rollup based on the OP stack for its off-chain CLOB. Market leader dYdX currently employs a Starkware StarkEx rollup but will soon migrate to a Cosmos-based sovereign app chain.

Synthetix’s new DEX will be governed by holders of Synthetix’s native token, SNX, and will not require its own token, Warwick said on Discord. But its revenues will be used to accumulate SNX.

“Infinex aspires to become the single largest LP in the Synthetix ecosystem,” he wrote.

As of the time of publication, SNX’s price has jumped 32%.

The launch of the new project is anticipated to coincide with version 3 of Synthetix’s perpetual futures trading system. That new version is expected to be launched in the coming months.


Get the news in your inbox. Explore Blockworks newsletters:

  • Blockworks Daily: The newsletter that helps thousands of investors understand crypto and the markets, by Byron Gilliam.
  • Empire: Start your morning with the top news and analysis to inform your day in crypto.
  • Forward Guidance: Reporting and analysis on the growing intersection of crypto and macroeconomics, policy and finance.
  • 0xResearch: Alpha directly in your inbox. Market highlights, data, degen trade ideas, governance updates, token performance and more.
  • Lightspeed: Built for Solana investors, developers and community members. The latest from one of crypto’s hottest networks.
  • The Drop: For crypto collectors and traders, covering apps, games, memes and more.
  • Supply Shock: Tracking Bitcoin’s rise from internet plaything worth less than a penny to global phenomenon disrupting money as we know it.
Tags

Upcoming Events

Industry City | Brooklyn, NY

TUES - THURS, JUNE 24 - 26, 2025

Permissionless IV serves as the definitive gathering for crypto’s technical founders, developers, and builders to come together and create the future.If you’re ready to shape the future of crypto, Permissionless IV is where it happens.

Old Billingsgate

Mon - Wed, October 13 - 15, 2025

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

recent research

Research Report Templates.jpg

Research

Bluefin possibly stands at an inflection point. The token is near an all-time low yet the protocol’s spot volume market share and derivatives exchange usage have been increasing month over month since its November launch. Given its current market position and the upcoming upgrades (for both Bluefin and SUI), there may be upside potential before the increased supply growth in December. However, strong opposition from existing competitors (like Cetus and Suilend), as well as new entrants (like Aftermath), pose key challenges to Bluefin’s medium-term success.

article-image

Top Committee Democrat Sen. Elizabeth Warren in her opening statement accused Atkins of “helping billionaire CEOs like Sam Bankman-Fried”

article-image

Introducing garbled circuits for enhanced privacy and regulatory compliance

article-image

Ross Ulbricht was a freedom maximalist building freedom tech, powered by Bitcoin

article-image

Solana validators can reap benefits including payments, votes and community clout

article-image

Sponsored

WalletConnect is cementing itself as the essential connectivity layer, ensuring wallets remain the entry point for billions of users

article-image

According to a legal filing, Galaxy Digital helped boost the price of LUNA while quietly selling its tokens