Synthetix Pushes New Pool to Rescue sUSD’s Dollar Peg

His message came after a new staking option launched on April 18, which offers rewards to users who lock their sUSD for a year. However, Warwick warned that if participation remains low, stricter steps may follow.

The new system, known as the sUSD 420 Pool, promises to share 5 million SNX tokens among users over 12 months if they commit their sUSD. Warwick explained that this approach is meant to help return sUSD to its $1 target, but so far, it has only seen limited success.

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He added that the process is still manual, as the user interface is not live yet, but that should not stop people from getting involved.

According to Warwick, he was still waiting to see if the incentives would be enough. If not, he hinted that more forceful methods might be needed to push stakers to take part.

He also made it clear that maintaining the sUSD peg is not just the project’s job but something that requires active support from the SNX community.

Synthetix’s stablecoin works by having users lock SNX as collateral to mint sUSD. This means the stability of the coin depends on the value of SNX and how engaged the holders are.

On April 2, EigenLayer, a decentralized protocol on Ethereum ETH $1,698.38 , introduced slashing penalties for misbehavior within its restaking system. How does it work? Read the full story.