dYdX Chain Developers Introduce Liquid Staking Support

The team behind the development of the L1 network dYdX Chain, based on Cosmos, has introduced support for liquid staking of the utility token DYDX with the upgrade to v3.0.

1/6 ? The dYdX Chain Protocol v3.0 Upgrade has been successfully implemented at block height 7147832.

?Thanks to everyone who voted and contributed!

What does the upgrade change?
Keep reading ? pic.twitter.com/0PidV3jC8f

— dYdX Ops subDAO (@dydx_ops_subdao) January 29, 2024

The upgrade integrated Inter Chain accounts, providing support for LSP protocols. The derivative based on staked DYDX can be traded or used in DeFi applications.

The Stride project plans to launch a similar service soon. Following this, Persistence and Quicksilver are ready to offer their services, according to The Block.

Other changes in v3.0 include:

• an improved liquidation mechanism;
• a more controlled approach to closing positions;
• simplified margin requirements.

Established in 2020, the dYdX platform is a leading decentralized exchange for crypto derivatives with a cumulative volume exceeding $1 trillion as of August 2023.

In July, the project team activated a public testnet based on Cosmos and the Tendermint consensus protocol.

The genesis block of the dYdX Chain mainnet was formed on October 26.

On November 13, users gained access to operations with over 33 perpetual contract markets via the dydx.trade platform, offering leverage up to 20x.