Synthetix Returns to Mainnet Amid Improved Ethereum Network Conditions

Perpetuals trading platform Synthetix is returning to Ethereum's mainnet after a three-year absence. Founder Kain Warwick says the network can now handle high-frequency financial applications, citing reduced demand and scaling improvements as key factors.

The move comes amid improving network economics and infrastructure capacity across the blockchain ecosystem. Ethereum's average gas fee has dropped significantly, from 18.85 gwei to 0.71 gwei over the past year, making it more viable for critical infrastructure to operate on mainnet again.

Synthetix initially moved to Optimism in 2022 due to high gas fees and network congestion, but Warwick expects other perpetual DEXs to follow suit as Ethereum's capacity improves. He noted that the majority of crypto liquidity exists on Ethereum mainnet, making it the most efficient on-chain market.