We are nearing the inflection point... the 🌋 Vesuvian explosion... for $SNX. Pull a 🪑, child, and let me tell thee the reasons why...

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(1) Up to now, $SNX holders have been long $SNX for two reasons: first, because they're paid more $SNX. Second, because they get a cut of the trading fees on http://synthetix.exchange .
(2) That first reason is a "cut off your nose to spite your face"-type incentive. It's dilutive and puts downward pressure on $SNX prices. Fortunately, there's a 1-year escrow on that dilution, and so far lockup expirations haven't = selloffs...
(3) Most $SNX holders aren't rushing to sell. I think that's because they see that the real value of holding $SNX is because of the trading fees. To date, the trading fees have been pitiful (outside of a brief period last winter when front-runners gamed the exchange).
(4) For example, the exchange has generated about $7 million in trading volume over the past week. With a trading fee of 0.3%, that's spit out about $21,000 sUSD in fees to SNX holders.
(5) If we assume 100,000,000 $SNX are staked at the moment (I can't find the actual number off-hand), that's about $0.00021 in sUSD per SNX. Not much to write home about.
(6) However, $SNX has largely been in a proof-of-concept phase. What really has me excited is the ability to trade synthetic derivatives (meaning futures and leveraged positions) not just of bitcoin but of other cryptos AND stocks.
(7) In other words, $SNX is on the cusp of competing with BitMex. But it's going to be competing with stock brokerages, too.
(8) The @hiFramework crew, @iam__vance and @im_manderson, just did an amazing interview with @CamiRusso, where they touched on this... Along with FutureSwap, they think $SNX (and possibly some other decentralized derivatives players like dYdX) can capture 10%...
(10) My chips are on $SNX to capture the majority of decentralized derivatives trading (largely bc their execution has been remarkable... no one has done as much in as short a time... outside of big teams like Binance or nichier teams like Uniswap), and they have an army of fans.
(11) So, let's say $SNX takes 5% of market share from centralized derivatives platforms within 24 months. Today, very crudely, the centralized exchanges are doing maybe $1 billion in volume per day. SNX would suddenly be doing $50 million in volume per day.
(12) Weekly payouts to SNX holders would rocket 50x to $0.0105. If you're bag-holding 10,000 SNX (worth about $14,000 at today's prices), you'd be earning $105/week in payouts or $5,460 per year. That's a dividend/payout of nearly 40% a year (assuming SNX prices don't change).
(13) Here's the thing, though... I wouldn't be in SNX if I thought it's upper bound was "5% of the centralized derivatives market."
(14) I think decentralized derivatives platforms will be doing more like $1 billion+ in volumes within 24 months. (Wait... can we please come up with a name for "decentralized derivatives btw... maybe "DeRi")....
(15) Why? Because they'll be a place to swap DeRi on far more than just crypto... we'll be swapping derivatives on precious metals, currencies, + stocks.
(16) Ultimately, I want to see SNX offer products you can't get anywhere else, too... like say exposure to the valuations on SpaceX or Robinhood itself, but I'm leaving that for products like $UMA (check out my long-tail UMA post here). https://twitter.com/redphonecrypto/status/1272919138093203456
(17) You can't look at Synthetix from a U.S.-centric point of view. It will open up stock trading to anyone, anywhere in the world who can get their hands on a little bit of crypto.
(18) Think about a man without a bank account in India. He could sell some bananas for a stablecoin on his phone. Then, he could swap stablecoins for shares in Google/Alphabet -- the company that runs the OS on the phone he's using.
(19) For the first time in his life, his earnings can be compounded... his money can work for him. His destiny is literally altered.
(20) So why am I rambling on like this? Because the explosion in $COMP has me more bullish than ever for $SNX. I think $SNX should be worth more than COMP.
(21) In fact, I've got a $1 billion short- to medium-term market cap target for $SNX. The market cap for $COMP is nearly there already. This proves that when these things move, they move fast.
(22) $SNX's upcoming launches will be the catalyst that pushes it through ATHs. And when that happens, I think the ride to $1 billion+ will be furious. If we get there, SNX will trade at $9.46 (assuming a circulating supply of 105 million tokens).
(23) If you're super-bullish, which I am, there are plenty of tailwinds that could push SNX above $2 billion... on par with $BNB and $EOS and giving it a token price around $20.... maybe even an insane spike to $50.
(24) I will post about those soon, but if I haven't convinced you yet, you should probably just donate your crypto to someone who can more clearly see where the industry is headed.

Play the longer game... always
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