Since joining Synthetix as a core contributor, Iâve been asked to explain the protocol many times by people with varying understandings of finance, software engineering, crypto, and DeFi. Synthetix is addressing a fairly specific challenge: the creation of derivative financial assets on Ethereum (and compatible blockchains). This is my best attempt to outline some of the protocolâs history, current challenges, and long-term goals without assuming the reader has any context. Itâs not comprehensive and things are rapidly evolving, so Iâd recommend doing your own research if you find any of this interesting.