Question 1

What is the current price of iMKR?

Accepted Answer

The current price of iMKR (iMKR) is £ 5,993.55. Over the last 24 hours, iMKR's price has increased by +0.00%%.

Question 2

What Is iMKR?

Accepted Answer

iMKR is a synthetic asset provided by the Synthetix platform. Synthetix is a blockchain protocol that allows for the issuance of synthetic assets on the Ethereum blockchain. Synthetic assets are financial instruments that simulate other instruments while not necessarily holding the underlying assets. In the case of iMKR, it represents an inverse position on the original MKR (Maker) token, a well-known cryptocurrency in the space. Therefore, when the price of MKR decreases, the value of iMKR should increase, and vice versa.

Question 3

Who created iMKR?

Accepted Answer

Since iMKR is a part of the Synthetix ecosystem, it was created by the Synthetix team. Synthetix was originally launched as Havven in 2017 by founder Kain Warwick and later rebranded to Synthetix. The team behind Synthetix is known for its experience in cryptocurrency and has been crucial in developing and maintaining the platform that supports synthetic assets like iMKR.

Question 4

How does iMKR work?

Accepted Answer

iMKR, as an inverse synthetic asset, works within the Synthetix platform by tracking the opposite movement of Maker's (MKR) token price. Users can mint iMKR by staking Synthetix's native token, SNX, as collateral on the Synthetix platform. When the price of MKR falls, the value of iMKR is algorithmically designed to rise at a corresponding rate, minus the fees and price adjustment factors applied by the platform. This allows traders and investors to speculate on price movements of MKR without owning the actual MKR tokens.

Question 5

What makes iMKR unique?

Accepted Answer

iMKR's uniqueness lies in its nature as an inverse synthetic asset, allowing for a type of exposure that is often not available in traditional markets or even within most decentralized finance (DeFi) ecosystems. It enables users to take a short position on MKR token, hedging against potential price decreases without having to engage in spot short selling or direct derivative contracts. As part of the Synthetix ecosystem, it benefits from the extensive range of other synthetic assets and the platform's innovative use of decentralized collateral pools.

Question 6

How is the Synthetix Network secured?

Accepted Answer

The Synthetix Network, which iMKR is part of, is secured by the Ethereum blockchain. Ethereum operates on a proof-of-work (as of the knowledge cutoff date) mechanism which ensures the integrity and security of all transactions and smart contracts executed on the network. Furthermore, participants on the Synthetix platform are incentivized to provide collateral in SNX tokens to ensure the solvency of synthetic assets and to maintain the pegging mechanism that synthetic assets rely on.

Question 7

How much iMKR is in circulation?

Accepted Answer

The amount of iMKR in circulation is dependent on the current demand for taking an inverse position on MKR and the amount of SNX staked as collateral. It is designed to be minted and burned according to these demands, which allows for a dynamic supply that can expand and contract as needed.

Question 8

What is Synthetix's role in the DeFi space?

Accepted Answer

Synthetix plays a significant role in the decentralized finance (DeFi) space by providing one of the most diverse ranges of synthetic assets. It aims to broaden the availability of financial instruments on the blockchain, making it possible for individuals to gain exposure to various asset classes, including fiat currencies, commodities, and equities, as well as inverse assets like iMKR, with blockchain's inherent transparency and without traditional intermediaries.

Question 9

How to keep your iMKR safe?

Accepted Answer

To keep your iMKR safe, you should store your tokens in a secure wallet that supports ERC-20 tokens as iMKR is built on the Ethereum blockchain. It is crucial to use wallets with a strong security track record and ensure that you are following best practices for password and key management, including using hardware wallets for larger token holdings and avoiding sharing private keys or passphrases with anyone.

Question 10

Where can you buy iMKR?

Accepted Answer

iMKR can be obtained through the Synthetix platform by staking SNX tokens as collateral or by trading it on decentralized exchanges that support Synths from the Synthetix ecosystem. As the market for synthetic assets continues to develop, more platforms may support iMKR and other Synthetix-based synthetic assets. It is advisable to always check the most reputable and liquid platforms that are recognized within the cryptocurrency community.

Convert IMKR to GBP

Try our Crypto Pro app