The dYdX Foundation, a non-profit organization behind the decentralized crypto exchange dYdX, has released its semi-annual report detailing its ecosystem growth and milestones reached in 2023.
According to the report, the foundation fostered the development of the dYdX protocol and grew the community in preparation for the release of the v4 open-source software – the dYdX Chain.
The Journey So Far in 2023
The foundation said the regulatory challenges of the crypto industry, corporate failures, and the aftermath of the crypto exchange FTX bankruptcy highlighted the role of decentralized finance with a focus on self-custody, transparency, and eliminating intermediaries.
Since dYdX announced its plans to become a fully decentralized protocol in January 2022, the exchange has released updates on achieving four out of five milestones and launched a public testnet. The testnet has over 57 validators, a block time of roughly 1.8 seconds, and has facilitated more than 2.9 million transactions.
Last month, the foundation disclosed the potential migration of the protocol’s native token, DYDX, from Ethereum to the about-to-be-launched dYdX Chain. After the announcement, a community member launched a snapshot vote to migrate DYDX to the new chain and adopt the dYdX v4 open-source software as the next version of the dYdX protocol. The community passed the vote with near unanimous support.
The mainnet launch of the dYdX Chain has been scheduled for the end of September. By the set timeline, the proof-of-stake blockchain will entirely run on Cosmos.
Fostering Decentralized Governance
In line with dYdX’s vision for decentralized governance, the entity has launched a Decentralized Autonomous Organization (DAO). The DAO has registered 14 proposals, which witnessed a vote participation of 458 unique addresses and an average of 42.6 million DYDX. The average amount of tokens used in each vote was approximately 4.3% of the total supply.
Interestingly, over 46,000 unique addresses are holding DYDX, and more than 70,000 received the token from rewards. The trading volume for the dYdX v3 protocol has surpassed $230 billion, with a daily volume of $1 billion. The v3 platform recently exceeded $1 trillion in cumulative trading volume.
Meanwhile, amid unfavorable macroeconomic conditions, the dYdX Foundation expanded its team and recruited key roles. The team now includes 13 full-time contributors, six contractors, a new marketing and communications lead, and an operations associate.