Trust & Security
Last updated
Last updated
At Solana Synthetics, we understand the importance of trust and security when dealing with financial products. These priorities become even more critical in the crypto ecosystem. Below, we highlight some of the many ways we are committed to maintaining the security of your assets and earning your trust.
In traditional finance, setting up and operating financial products requires collaboration with a variety of institutional partners, including custodians, fund administrators, legal teams, and more. On-chain finance introduces additional layers of complexity, especially when bridging blockchain-based assets with real-world financial instruments. At Solana Synthetics, we work with only the most reputable partners to ensure quality and security across all aspects of our offerings.
For instance, when users mint synthetic assets backed by stablecoins or other collateral, custody and liquidity processes are facilitated by well-established partners. These partnerships ensure that all collateral is securely managed and that the synthetic assets maintain their value relative to the underlying benchmarks. Whether it's stablecoins, real-world financial indices, or tokenized assets, our commitment remains the same: collaborate with the highest-quality institutional partners to ensure user confidence and system integrity.
Transparency is a cornerstone of our operations at Solana Synthetics. We believe on-chain financial products should meet or exceed the standards of transparency found in traditional finance. To this end, we provide detailed, publicly available information about our products and protocols, including:
Underlying Strategies: Each synthetic asset clearly outlines its backing mechanism, collateral details, and operational parameters.
Portfolio Composition and Risk: Users can view real-time updates on the collateral pools backing their synthetic positions.
Technical Audits: Our smart contracts have been thoroughly audited by leading blockchain security firms. These audits are published on for public review.
Additionally, the governance mechanisms of Solana Synthetics ensure that users have a direct role in protocol upgrades, asset listings, and risk management practices. Regular updates, dashboards, and open-source documentation provide users with the tools they need to fully understand the platform.
At Solana Synthetics, compliance is central to our operations. Tokenized synthetic assets introduce unique legal and regulatory considerations, and we take a careful, measured approach to ensure adherence to global standards.
Our product design is informed by ongoing consultation with legal and regulatory experts, and our compliance framework incorporates robust safeguards against anti-money laundering (AML), counter-terrorist financing (CTF), and sanctions violations. Users engaging with the platform undergo customer due diligence processes to ensure compliance with applicable regulations.
Solana Synthetic USD (sUSD)
The sUSD token represents a synthetic stablecoin fully collateralized by USDC, which is held securely in verified custody solutions. When users mint sUSD, their collateral is locked in audited smart contracts, and the token is designed to maintain a 1:1 peg with the US dollar. The token’s value is stabilized using algorithmic mechanisms and over-collateralization.
Key Details:
Minted by depositing USDC as collateral.
Smart contracts ensure secure custody of the underlying collateral.
Transparent mechanisms govern peg stability and redemptions.
Solana Synthetic Gold (sGold)
The sGold token provides exposure to the price of gold without requiring physical ownership or complex logistics. Backed by stablecoins, the token tracks gold prices through decentralized oracles, allowing users to gain exposure to this asset class in a seamless, blockchain-native manner.
Key Details:
Backed by a mix of stablecoins and other liquid assets.
Pegged to real-world gold prices using decentralized oracle networks.
Enables on-chain exposure to gold for DeFi participants.
Solana Synthetics prioritizes user security through rigorous smart contract audits conducted by top-tier blockchain security firms. These audits cover all operational aspects, including:
Collateral management and liquidation mechanisms.
Oracle integrations for price feeds.
User interface and API security.
Audit reports are publicly available on our documentation site: https://docs.sol-synthetics.com/audits.
Governance within the Solana Synthetics ecosystem is decentralized, empowering users to shape the platform's future. $SYNT, the protocol’s native governance token, allows holders to:
Propose and vote on new synthetic assets.
Adjust collateralization ratios and risk parameters.
Approve or reject protocol upgrades.
User protections are embedded into the governance process, ensuring that decisions reflect the interests of the broader community while maintaining transparency and operational security.
By maintaining a focus on trust, transparency, and security, Solana Synthetics aims to provide a robust platform for accessing synthetic assets in a decentralized, compliant, and user-centric environment. For more details, visit our website at .