Synthetix Acquires Kwenta to Unify Strategic Priorities and Enhance User Experience
In early October, Synthetix approved a governance proposal aimed at revamping the project. Key changes include updating SNX tokenomics, introducing a SNX-backed stablecoin, launching on Ethereum mainnet and Solana, and redesigning the Synthetix frontend.
As part of this overhaul, SIP-411 was approved unanimously by Synthetix councilors, leading to the reacquisition of Kwenta as a frontend for Synthetix's relaunch.
Kwenta, initially a Synthetix project spun out in 2021, is now criticized by Synthetix co-founder Kain Warwick as a “terrible idea.”
Benjamin Celermajer, Synthetix’s strategy seat, stated that incorporating Kwenta will align the vision and roadmap of both protocols, enhancing user experience and integration with other protocols utilizing Synthetix liquidity.
Under SIP-411, KWENTA token holders can exchange their tokens for SNX at a rate of 1:17. The exchanged SNX will undergo a three-month lock-up starting Nov. 15, followed by a nine-month linear vesting period. The KWENTA token will be deprecated thereafter.