dYdX (ethDYDX) price

ETHDYDX

#226

On June 22, 2022, dYdX Trading Inc.(“dYdX Trading”) announced the next iteration of the dYdX protocol - the dYdX Chain Open Source Software. The dYdX Chain is a proof-of-stake blockchain network and, as such, it requires a Layer 1 (“L1”) protocol token for staking to validators in order to secure the chain and for stakers of the L1 token to govern the network. Holders of the L1 token can use their L1 tokens to run a validator or stake their tokens to a validator in order to participate in securing and governing the network. The wethDYDX Smart Contract enables the migration of ethDYDX from Ethereum to the dYdX Chain. When interacted with, the wethDYDX Smart Contract would carry out the following functions in a fully permissionless and automated manner: Receive and permanently lock the ethDYDX tokens sent by the user to the wethDYDX Smart Contract; Send a wrapped version of the Ethereum-based DYDX token (“wethDYDX”) to the user on a 1-1 proportional basis on Ethereum; and dYdX Chain validators can also read and ingest the information in the wethDYDX Smart Contract such that corresponding DYDX can be distributed to users by validators on the dYdX Chain once there is confirmation that Step 1 above is complete and the ethDYDX is permanently locked in the wethDYDX Smart Contract. More information about the migration of ethDYDX from Ethereum to dYdX Chain is available here.

• In DIP 16 and DIP 20, the dYdX community voted to reduce trading rewardsby 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:
• Epoch 30: 1,054,795 $ethDYDX
• Epoch 31: 527,398 $ethDYDX
• Epoch 32: 0 $ethDYDX

• After Epoch 0, 24,690,803 unclaimed $ethDYDX from the Retroactive Mining rewards program were transferred to the Community Treasury.

• In DIP 24, the dYdX community voted to reduce Liquidity Provider Rewards by 50% from 1,150,685 $ethDYDX per epoch to 575,343 $ethDYDX per epoch. The excess 575,342 $ethDYDX per epoch 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 Liquidity Provider rewards by ⅓ from Epoch 30-32 on dYdX v3 to the following values:
• Epoch 30: 383,562 $ethDYDX
• Epoch 31: 191,781 $ethDYDX
• Epoch 32: 0 $ethDYDX

• In DIP 14, the dYdX community voted to set the rewards associated with staking $USDC to 0. The 383,562 $ethDYDX previously distributed to $USDC stakers will accrue in the Rewards Treasury and can be used by the dYdX community with a governance vote.

• In DIP 17, the dYdX community voted to set the rewards associated with staking $ethDYDX to 0. The 383,562 $ethDYDX previously distirbuted to $ethDYDX stakers will accrue in the Rewards Treasury and can be used by the dYdX community with a governance vote.