Synthetix Proposes $27M Deal to Re-Acquire Derive: A Big Move in Crypto Derivatives

Synthetix is making a bold move. The decentralized finance protocol wants to bring Derive back into the fold, and it's willing to pay $27 million in tokens to do it.

The proposal is live. Now it’s up to the communities of both projects to decide.

From Family to Independence and Back Again

Derive wasn’t always called Derive. It started its journey in 2021 as Lyra. Back then, it was part of the Synthetix ecosystem. Like a child growing up, it branched out. It became its own thing. Now, after years of building, Synthetix wants it back.

This isn’t a hostile takeover. It’s a reunion. A return to roots.

Founder Kain Warwick described it beautifully. “This is the kids going out to build their own successful startups, and coming back to join the family business.”

It’s more than sentiment. It’s strategy.

The Deal: 1 SNX for 27 DRV

Synthetix has offered a straightforward exchange. One SNX token will be traded for 27 DRV tokens. That puts Derive’s valuation at about $27 million.

The transaction isn’t finalised yet. Both communities, Synthetix and Derive, will vote on the proposal. The vote will take place next week under SIP-415. If passed, the acquisition becomes official.

Why This Matters

Crypto derivatives are booming. They’re not just a niche anymore. Platforms like Binance, dYdX, Hyperliquid, and Deribit are dominating the space.

Synthetix wants to compete. And to do that, it needs more firepower. Acquiring Derive gives it exactly that. Derive brings deep expertise in options. It also has strong experience with real-world assets (RWA), a growing sector in crypto.

Together, the two platforms can build stronger tools, better services, and a smoother experience.

Not the First Merger

This isn’t Synthetix’s first acquisition this year. It recently brought in Kwenta and TLX as well. The goal is clear: consolidate, simplify, and grow.

All of these efforts are leading toward a vertically integrated system. Synthetix doesn’t just want to offer one service. It wants to control everything, perpetuals, options, apps, chains, all under one banner.

And everything will be built with SNX at its core.

The SNX Token Plan

To fund the acquisition, Synthetix will mint up to 29.3 million SNX tokens. These tokens won’t hit the market right away. They come with a three-month lock-up. After that, there’s a nine-month linear vesting period.

This strategy helps prevent massive dumps. It gives the market time to absorb the new tokens slowly.

At the time of writing, SNX is trading at around $0.94. That’s an 11.5% gain on the day. Still, it’s a far cry from its all-time high of $28.53 in February 2021. Like many altcoins, SNX has taken a hit in the bear market. It’s down nearly 97% from its peak.

sUSD Still Under Pressure

While the acquisition news is exciting, Synthetix is still dealing with some internal challenges. Its native stablecoin, sUSD, recently lost its peg. On April 18, it dropped as low as $0.68.

Although it has recovered somewhat, it still hasn’t returned to $1. At the time of writing, it’s sitting at about $0.93.

This depegging event has had ripple effects. Exchanges like Upbit and Bithumb even suspended SNX deposits due to the risks associated with sUSD.

It’s a reminder that DeFi is still volatile. Even established protocols can face major challenges.

Looking Ahead: A Unified Future

If this deal goes through, it will mark a big moment for Synthetix. It’s not just about acquiring one company. It’s about reshaping its future.

Re-acquiring Derive means more control. More integration. More ambition.

The DeFi space is evolving fast. It’s no longer just about lending and borrowing. Traders want access to complex tools. They want options, perpetuals, leverage, and exposure to real-world assets.

Synthetix wants to be the protocol that offers all of it.

By combining forces with Derive, it strengthens its position in a very competitive space. It gets new technology. New talent. New reach.

And for Derive, it’s a return to its roots. A chance to contribute to something bigger. With more resources and community support, the Derive team can now go further.

Community Power

The beauty of decentralised platforms is that nothing happens without the community. This deal is no different. Synthetix and Derive users hold the power.

They’ll review SIP-415. They’ll vote. And their decision will shape the next chapter.

It’s another example of how governance works in Web3. The developers can propose. But the people decide.

Conclusion: A Smart, Strategic Move

The crypto markets are always shifting. Projects rise and fall. Some disappear entirely. Others evolve.

Synthetix is choosing to evolve. It’s consolidating its strengths. It’s investing in its future and staying focused on what matters which is building.

Re-acquiring Derive is a smart move. It simplifies governance. It strengthens infrastructure, and it signals that Synthetix is playing the long game.

Yes, there are risks. The token mint could affect the price. sUSD still needs to regain stability. And community approval isn’t guaranteed.

But the vision is clear. Synthetix isn’t just trying to survive this market. It’s trying to win it.

Whether the community says yes or no, one thing is obvious; Synthetix is serious about leading in crypto derivatives. Let’s see what the vote brings.