Simplifying SNX Staking with Debt and Escrow Migration to Optimism

3 months ago 103

Synthetix has implemented SIP-237, an upgrade that volition simplify the staking acquisition by allowing users to migrate their staked SNX and sUSD indebtedness to Optimism without burning existing sUSD debt.

Simplifying SNX Staking with Debt and Escrow Migration to Optimism

Simplified Migration from Ethereum to Optimism

Before the implementation of SIP 237, migrating staked SNX from Ethereum to Optimism required users to pain their existing debt, a process that hamstrung users who had already deployed sUSD into hedging and farming strategies. However, with the caller strategy introduced by SIP 237, stakers tin migrate their indebtedness presumption and escrowed SNX from Ethereum to Optimism.

The Mechanism: How Does It Work?

The halfway of this migration lies successful the usage of indebtedness shares, introduced successful SIP-185. This mechanics ensures that erstwhile stakers migrate, their vested SNX and indebtedness shares are transferred from Ethereum Mainnet to Optimism. This transportation includes:

Debt Shares (SDS): All indebtedness shares are moved from L1 to L2.
Unstaked Balance (SNX): Complete SNX equilibrium is migrated.
Escrowed SNX: Revoked connected L1 and recreated connected L2.

Benefits of the Migration

No Need to Burn Debt: Stakers tin migrate without the hassle of unwinding and burning their debt.
Unified Fees: Post-migration, users person the aforesaid interest organisation careless of wherever they stake.
Gas Cost Savings: Being connected Optimism offers important savings connected state costs.
Automation Possibilities: Due to the debased state interest situation and integrations with Gelato, users tin automatically mint based connected their user-selected parameters.

How to Migrate

For those looking to migrate, it's arsenic elemental arsenic heading to the links below: vest your escrow, migrate your escrow, and past migrate your debt.