The news of the launch of perpetual contracts on the dYdX protocol has arrived, starting with the Bitcoin (BTC) cryptocurrency.
1/ Today we're excited to announce that the most popular trading product in all of crypto is coming to dYdX.
Introducing Perpetual Contract Markets on dYdX…
⚡️BTC/USDC with up to 10x leverage!⚡️
Sign up for early access to our alpha + learn more:https://t.co/yme27bsRCw
— dYdX (@dYdX) April 20, 2020
From what can be read, the launch will take place privately, hence not for everyone, and at the moment it will be available only for the BTC-USDC pair with a leverage up to 10x, bearing in mind though that these perpetual contracts are not available in the US.
The perpetual contracts market has also expanded thanks to the various centralized exchanges that have made it possible for the end-user to have exposure to BTC but also to other cryptocurrencies without an expiry date. This market has thus effectively eclipsed the volumes of spot trading, explains dYdX in the published post.
What is interesting about the possibility offered by this dYdX is to be able to trade in a decentralized way, becoming, in fact, the first DEX to make available perpetual contracts, opening an incredible scenario for decentralized finance (DeFi).
As mentioned, the first perpetual contract will have Bitcoin (BTC) as its asset, but instead of using any ERC20 BTC, like those already known, dYdX has preferred to create a new dedicated protocol for this type of instrument.
The leverage that will be available for this perpetual contract will be up to 10x (both long and short) and will have no time limits. It will use the USDC stablecoin and it is pointed out that trading will be possible both via app and API.
“This is a separate market, with a separate native order book to the existing spot markets on dYdX. Perpetual trading occurs in a separate account from margin trading. BTC-USDC perpetual accounts are margined and collateralized separately to existing dYdX margin accounts. Trading will be possible via our existing app or programmatically through our APIs / trading clients”.
This is another step for decentralized finance, thanks to a new tool for the DEX, despite the latest problems encountered due to attacks on some DeFi protocols.
