Plans for a $27 million merger between Synthetix and Derive (formerly Lyra) have been scrapped, as both teams announced they have mutually withdrawn their respective proposals following community feedback and internal discussions.
The proposed deal aimed to integrate Derive’s decentralized options platform with Synthetix’s derivatives ecosystem on Ethereum. It was formalized in Synthetix Improvement Proposal 415 (SIP-415) and Derive Improvement Proposal (DIP).
Under the terms, Synthetix would acquire Derive’s treasury, technology, and product suite via a token swap.
The deal would have seen 29.3 million new SNX tokens minted, with a token swap ratio of 27 DRV to 1 SNX, effectively valuing Derive at $27 million.
Proposal Withdrawn After Community Discussion
On May 26, Derive confirmed the cancellation, stating:
“The SIP-415 and DIP proposals to merge Synthetix and Derive have been mutually withdrawn after thoughtful discussion and community feedback.”
The move reflects a growing trend of community-driven governance in DeFi, where users play a direct role in shaping the evolution of protocols.
While both projects remain committed to improving the decentralized derivatives space, this development shows that alignment between teams and communities remains essential for successful integrations in Web3 ecosystems.
Kosta Gushterov
Reporter at Coindoo
Kosta has been a part of the team since 2021 and has solidified his position with a thirst for knowledge, incredible dedication to his work and a “detective-like” mindset. He not only covers a wide range of trending topics, he also creates reviews, PR articles and educational content. His work has also been referenced by other news outlets.
Source: https://coindoo.com/synthetix-and-derive-cancel-27m-merger-proposal-after-community-pushback/