dYdX (ethDYDX)ETHDYDX to ETH

EtherDYDX is the Ethereum protocol layer 2 governance token. EthDYDX allows traders, liquidity providers, and partners to share power to develop dYdX v3.

StarkWare's StarkEx scalability engine layer 2 supports cross-margined perpetual trading. Expanding the protocol may improve transaction speed, gas prices, trading fees, and minimum deal sizes for dYdX.

At 15:00:00 UTC on August 3, 2021, 1,000,000,000 ethDYDX were minted and distributed over five years.

Who Are the Founders of dYdX?

Antonio Juliano is a programmer who knows a lot about blockchain. He started and runs dYdX Trading Inc. He got into the crypto business after becoming a software engineer at Coinbase in 2015. Juliano, who graduated from Princeton University with a degree in computer science, started dYdX in early 2017.

What Makes dYdX Unique?

It is possible for the network to grow because it uses a type of zero-knowledge rollup called zkSTARKS. While verifying a group of deals off-chain, the system gets proofs. After that, these proofs are sent back to the blockchain and checked by a smart contract. Because of zkSTARKS, it is possible to move processes that cost a lot of money off of the mainnet without affecting decentralization.

What is the Allocation of ethDYDX?

A total of 1,000,000,000 ethDYDX have been minted and started to become accessible over five (5) years, on August 3rd, 2021, at 15:00:00 UTC.

The five-year allocation of the total supply of ethDYDX was initially as follows:

• 27.7% is allocated to Investors
• 14.5% is allocated to User Trading Rewards
• 15.3% is allocated to Employees and Consultants of dYdX Trading or Foundation
• 5.0% is allocated to Retroactive Rewards
• 5.2% is allocated to Liquidity Provider Rewards
• 7.0% is allocated to Future Employees & Consultants of dYdX
• 24.2% is allocated to Community Treasury
• 0.6% is allocated to Liquidity Staking Pool
• 0.5% is allocated to the Safety Staking Pool

Since the launch of ethDYDX, several governance proposals have resulted in changes to the initial allocation.

How is the dYdX Network Secured?

DYDX is an ERC-20 coin that is used on the mainnet of Ethereum. StarkWare's ZK-STARKS technology is used to build dYdX's layer 2 scaling solution, and the Ethereum blockchain is used to check transaction proofs.

When Will DYDX Trading Begin?

DYDX token first became available for purchase in September 2021.

When the dYdX Chain Open Source Software came out on June 22, 2022, it was the next version of the dYdX system. The dYdX Chain is a proof-of-stake blockchain network, which means that validators must stake a Layer 1 ("L1") protocol token to keep the chain safe and stakers must stake a token to run it. People who own L1 tokens can run or put their tokens on a validator to keep the network safe and in order. ethDYDX moves from Ethereum to dYdX with the help of the wethDYDX Smart Contract.

The following tasks are automatically and without permission done by WethDYDX: 

1. Smart Contracts: Get ethDYDX coins sent by users and lock them permanently in the wethDYDX 
2. Smart Contract; Send the user a wrapped version of the Ethereum-based DYDX token called "wethDYDX" in a 1:1 ratio on Ethereum. 
3. Once Step 1 is done and the ethDYDX is permanently locked in the Smart Contract, dYdX Chain validators can read and ingest the information in the wethDYDX Smart Contract to distribute DYDX to users. 

- 14.5% (144,693,506 $ethDYDX) based on the Trading Rewards Formula

• In DIP 16 and DIP 20, the dYdX community voted to reduce trading rewards by a total of 2.3M $ethDYDX. (958,904 $ethDYDX from DIP 16 and 1,294,520 $ethDYDX from DIP 20). The 2.3M $ethDYDX will accrue in the Rewards Treasury and can be used by the dYdX community with a governance vote.
• In DIP 29, the dYdX community voted to reduce trading rewards by ⅓ from Epoch 30-32 on dYdX v3 to the following values:

1. Epoch 30: 1,054,795 $ethDYDX
2. Epoch 31: 527,398 $ethDYDX
3. Epoch 32: 0 $ethDYDX