dYdX to Stake $60M to Improve Security

Decentralized derivatives exchange dYdX community has made a decision to stake 20 million dYdX Chain tokens, worth approximately $60 million based on current prices.

The stake will be delegated to Cosmos staking provider Stride, with the goal of increasing the network’s economic security and promoting diversity in stake ownership.

Stakers who contribute to the stake will receive rewards in USDC, which will be automatically reinvested into more dYdX tokens. This will create a cycle of increasing rewards for stakers.

According to dYdX founder Antonio Juliano, the fees generated from this process will be used to purchase more dYdX tokens through Stride and returned to the project’s treasury.

The proposal received support from 91% of the community in a vote with 81% participation.