Developer

# Creating a Synthetic

Anyone can create new synthetic assets on S&F.

Builders do not need to become the settlement layer to build around S&F.

They can create synthetics, build execution venues, route liquidity, run agents, or integrate position tokens while the protocol remains responsible for collateral, issuance, redemption, funding rate, and oracle settlement.

A synthetic asset is defined by:

• the Oracle address;
• the Oracle slot;
• the leverage level;
• the direction: Stip for long exposure or Flip for inverse exposure.

An oracle has eight price slots, and each slot can reference a different asset.

If an asset with the same parameters already exists, it cannot be created twice.

The S&F contracts are permissionless, but the frontend presents an approved token list. A synthetic can exist onchain before it appears in the app.

The function to create a synthetic asset is createSynth on the SynthFactory contract.

# Oracle requirement

To create a new synthetic asset, you may need to create an Oracle first.

The Oracle can implement custom logic. It does not need to use the same implementation as the default S&F oracle, but it must expose the required interface and be able to receive payouts from swap fees.