About Dydx.Exchange
Dydx.Exchange describes itself as a full-featured decentralized exchange (originating from the US) for spot and margin trading. dYdX is built on Ethereum, and launched at the beginning of May 2019 with spot and margin trading on ETH-DAI. dYdX claims to offer one of the most liquid order books across decentralized exchanges. dYdX is a decentralised trading platform that offers spot trading, margin trading, lending and borrowing. It’s build on smart contracts with Ethereum in a completely decentralised way.
Dydx.Exchange built by a team in San Francisco that’s funded by some of Silicon Valley’s top investors. They launched in 2017 and have managed to raise two rounds of funding to continue executing on their vision of DeFi. They’re significantly smaller in users compared with other DEX’s, however, they seem to be gaining traction with some of their DeFi-based lending and borrowing products. Borrowing with dYdX.
| Exchange | Details |
|---|---|
| Exchange Name | Dydx.Exchange |
| Exchange Type | Cryptocurrency |
| Langugae | English |
| Maker Fee | 0.025% |
| Taker Fee | 0.30% |
| Trading fees | 10% off trading fees |
| Support | 24/7 |
| Top Country | India |
| Website | Homepage |
How To Sign Up & Start Trading
DYdX Trading fees
Every trade occurs between two parties: the maker, whose order exists on the order book prior to the trade, and the taker, who places the order that matches (or “takes”) the maker’s order. Dydx.Exchang call makers for “makers” as their orders make the liquidity in a market. Takers are the ones who “take” this liquidity by matching makers’ orders with their own.
At dYdX, takers are charged the higher of (i) 0.30% (or 0.20% for certain contracts), and (ii) the variable gast cost. This is difficult to compare to the global industry average taker fees for regular centralized exchanges, as the instruments traded at the different exchanges are also different from each other. In any event, 0.30% seems extremely high to us.
When it comes to the makers, their fee is -0.025% (or 0.00%, dependent upon the contract). This essentially means that each maker get paid to trade. To clarify, let’s say that you are the maker in an order where you purchase cryptocurrency for USD 1,000. This means that instead of paying USD 1,000, you will only have to pay USD 997.50. This is a very competitive trait indeed.
DYdX Withdrawal fees
To the understanding, Dydx.Exchang does not charge any fees of their own when you withdraw crypto from your account at the platform. Accordingly, the only fee you have to think about when withdrawing are the network fees. The network fees are fees paid to the miners of the relevant crypto/blockchain, and not fees paid to the exchange itself. Network fees vary from day to day depending on the network pressure. In general though, only paying the network fees should be considered as below global industry average when it comes to fee levels for crypto withdrawals.
Deposit Methods
In order to trade here, you must have cryptocurrency to begin with. The only asset class you can deposit to dYdX is cryptocurrency. However, if you really like dYdX but you don’t have any crypto yet, you can easily start an account with an exchange that has “fiat on-ramps” (an exchange where you can deposit regular cash), buy crypto there, and then transfer it from such exchange to this exchange.
dYdX lending rates
The dYdX lending rates can be viewed by navigating to the balances tab on the dYdX portal. You can easily view the latest rates which will be automatically updated in this section solely dependent upon the market mechanism.
Currently, dYdX offers these lending rates for the following tokens
- ETH-0.01%
- DAI-11.04%
- USDC-47.07%
Who is the founder of dYdX?
The Dydx.Exchang Exchange review platform was launched in 2017 by Antonio Juliano who joined hands with a group of eight experts based in Silicon Valley.
Antonio Juliano had worked as a software engineer at Uber and Coinbase where he gained immense knowledge about how the techniques of digitalization and trading can be combined as one which is exactly what he did when he launched the dYdX Exchange review.
dYdX has a prominent and successful team of advisors from well-renowned companies like Google, Coinbase and Airbnb backed by a committed and expert management team which is one of the dYdX core competencies.
Why Trade with dYdX?
The platform lists a number of different reasons to why should do your trading here and not anywhere else. To begin with, it is “trustless”, meaning that you don’t have any counterparty risks. They are not entirely sure how this differs from any other exchange and they have not managed to find any information on the platform as to what they mean either. Second, it is liquid, meaning that they aggregate spot and lending liquidity across multiple exchanges. This is a powerful trait and we strongly support that this trait is becoming more and more usual among exchanges. Bravo. Third and fourth, it is powerful and accessible. The latter meaning that you don’t need to signup to start trading. The Impressive!
The dYdX Team
Dydx.Exchang was founded by Antonio Juliano who was previously a software engineer at Coinbase and Uber. He’s joined by a team of 8 others that are Silicon Valley based.
Advisors of dYdX are Silicon Valley veterans from companies like Google, Coinbase and Airbnb. They’ve also got an all-star set of investors including Andreessen Horowitz, Polychain Capital, Bain Capital, Craft Ventures, Kindred Ventures and other top VC firms based in Silicon Valley.