The dYdX cryptocurrency derivatives DEX has launched Ethereum (ETH) perpetual contracts with 10x leverage.
The ETH-USD Perpetual Contract is live for trading on dYdX. For the first time, traders can get up to 10× leverage on their $ETH without converting to any other token. This gives traders the simplest way to gain leverage in #DeFi.
Trade now: https://t.co/3Jw1YhsDxG pic.twitter.com/AiONtIx3SI
— dYdX (@dydxprotocol) August 4, 2020
Contracts are quoted in US dollars but settled in the base asset — ETH.
The platform team says that, because ETH underpins the DeFi ecosystem, users will welcome another use case for the asset.
The ETH perpetual market operates similarly to the Bitcoin-based one that dYdX launched earlier.
The minimum order size is $200; there is no maximum. The market price for liquidating a contract is determined by MakerDAO’s Oracle V2 oracle, which uses spot market data from six exchanges: Binance, Bitfinex, Bitstamp, Coinbase Pro, Gemini and Kraken.
According to DeFi Pulse, dYdX, at the time of writing, ranks 14th by frozen-asset volume among DeFi protocols, with $40.2 million. The leader, MakerDAO, tops a billion.
Among decentralized lending platforms, dYdX ranks fifth by this metric.
Data: DeFi Pulse.
In April, dYdX surpassed $1 billion in loans issued over the year.
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