Synthetix (SNX) has reportedly experienced a significant surge in its trading volume in the month of June. The data shows that the growth rate in the trading volume of the Synthetix protocol has been massive.
Synthetix’s Trading Volume Growth Supports SNX
Due to the substantial rise in the trading volume of the protocol, the trading price of SNX tokens has also started to rise. SNX is reportedly the native token that is offered through the Synthetix protocol.
Even the user-generated charts are able to display the growth that has been observed in the trading volume and price of SNX. On June 1, the recorded trading volume for the Synthetix protocol was at a low of $15.9 million. Following the surge, the trading volume of Synthetix grew up to $266.1 million by June 20.
Synthetix protocol has been a great example of an asset experiencing a gradual growth. The data shows that the trading price and volume of Synthetix have continued growing steadily throughout the year 2021. Even in the year 2022, the trading price and volume for the Synthetix protocol have continued growing.
Other On-Chain Data Analytical Firms Also Confirm the News
Multiple on-chain data analytical firms, including cryptofees.info, are also looking into the growth of Synthetix protocol. The platform has revealed that the continuous growth in the price and volume of SNX has uplifted the asset.
The Synthetix protocol now ranks as the third most efficient protocol in the decentralized finance (DeFi) sector in terms of revenue generation from fees.
The 7-day data analysis for Synthetix shows that in terms of its growth and performance, it is only behind two decentralized finance cryptocurrencies. These particular cryptocurrencies include Uniswap (UNI) and Aave (AAVE). These are currently the best-known protocols within the decentralized finance sector.
A New Function Helped Synthetix Protocol
On Sunday, one of the executives at Synthetix revealed that the prime source of growth in their trading volume and price is a new feature. The feature is the new atomic swap function that Synthetix has introduced into the protocol with the integration of the SIP-120 update.
With the incorporation of the new update, they have provided users the ability to integrate it with major protocols. These protocols include 1inch, a decentralized exchange aggregator, and Curve Finance (CRV), which is a stablecoin swapping protocol.
This way, the users can easily swap synthetic tokens even if they have enormous batches for swapping. Another major reason behind the growth in the success of their protocol is Optimism and the benefits it offers with spot, options, and futures trading.
With so many features coming to the Synthetic protocol, the trading volume and price of SNX may continue growing at a significant rate.