dYdX

DYDX

DYDX is the governance token of the dYdX exchange.

Risk Rating
Best
$2.20
-0.71%
Summary
What we like
DYDX has intrinsic value as the governance token for the dYdX protocol that can be used to gain mining rewards, participate in staking pools, and receive trading discounts on the exchange.
What we like less
DYDX has limited use beyond governance and the future emission schedule is a significant concern with only ~16% of the supply liquid. Token concentration is also an issue with only about 26K holders.
What it means for you
Holding DYDX provides you several benefits on the dYdX exchange including rebates for trading fees, staking rewards, and liquidity provider rewards.
Information
Blockchain
  • Ethereum
Info
Key Metrics
  • Market Cap: $684.2M
  • Fully Diluted Valluation: $1.1B
  • FDV / MC: 1.7
  • Ranking inside Exponential (excluding stables): #25
  • Circulating Supply: 311,077,993
  • Total Supply: 515,249,237
  • Total Supply: 1,000,000,000
  • Volume (24H): $57.8M
  • ATH: $27.86 (09/30/2021)
  • ATL: $1.01 (06/18/2022)
Risk Assessment
Best
Asset Strength

DYDX is a low-cap asset that represents the blockchain`s native currency or monetary fee used to execute transactions on the network. This asset is exposed to the underlying risks of dYdX, a protocol rated as Average.

Asset Tokenomics

DYDX has a fixed supply. DYDX is the governance token of the dYdX exchange. New token emissions are directed towards traders with large and frequent positions.

Asset Volatility

DYDX is moderately correlated to the overall market.

Dependencies

dYdX

Things to know about DYDX

What is DYDX used for?

DYDX is the governance token for dYdX protocol that allows token holders to propose changes to the trading platform. DYDX holders also receive several benefits including retroactive mining, trading and liquidity provider rewards. DYDX holders also recevie trading fee discounts based on the amount of tokens they hold in their wallet.

DYDX tokenomics

The max supply of DYDX is capped at 1B tokens. The distribution of these tokens is as follows: 50 allocated to the dYdX community (liquidity providers, traders, stakeholders, and users), 27.73% to investors, 15.27% to team members, and 7% reserved for future consultants and employees. These tokens will be distributed over a period of five years.

How does DYDX accrue value?

Besides its use to participate in governance, DYDX has poor value accrual mechanisms as none of the protocol generated fees are redistributed to token holders. There are benefits for active traders on the platform to receive trading fee discounts. DYDX holders can also stake their assets on the dYdX platform to earn inflationary protocol rewards.