An Overview of Synthetic Assets on Mirror Protocol

DeFi protocols for issuing and trading synthetic assets can be built in various ways — each with its own set of tradeoffs and strengths — but the big questions that have to be answered are:

These features determine how traders and market makers (liquidity providers) interact with the protocol. Additionally, each protocol has security considerations such as liquidation thresholds, accepted collateral types, and oracle choices to consider — but optimistically, we can assume those work and don’t influence how the protocol “feels” to end-users.