dYdX Updates Platform for Permissionless Listing

The crypto trading platform dYdX has introduced new features to the dYdX chain, including permissionless listing, allowing tokens to be listed without approval.

dYdX has announced changes to its chain, creating a master liquidity pool that will supply liquidity to all of the markets connected to it.

It would enable its users to list any market on the dYdX chain without requiring governance approval. The team added that another new feature that offers market liquidity is the ability for users to list markets instantaneously by depositing a particular quantity of USD Coin USDC$1.00 into a “MegaVault.”

The chain’s governance mechanism will determine the required amount for listing new marketplaces. According to dYdX, no other controlled exchange (CEX) or decentralized exchange (DEX) currently offers the new permissionless market listing with automatic liquidity.

New Master Liquidity Pool Disclosed by dYdX

In addition to permissionless listing, dYdX is launching MegaVault, a tool that guarantees adequate liquidity across all its marketplaces. This also applies to upcoming marketplaces that will enable the permissionless listing feature.

The platform’s master liquidity pool and market maker for each market would be MegaVault. Users could deposit liquidity in the vault in exchange for a share of the income it produces. The exchange clarified that depositors will also get a cut of protocol revenue, which its governance will decide.

Investors using this strategy will see high annual percentage rates (APRs). Furthermore, because the funds would automatically market-make across many markets, MegaVault depositors won’t have to decide which markets to provide liquidity.

Users could produce yields through various means, such as trading fees, vault positions, and other incentives. Users will also have the flexibility to add and remove USDC from the vault whenever they like. dYdX composed:

“In the initial version of MegaVault, users will be able to withdraw from MegaVault at any time after depositing, though users may experience slippage based on MegaVault’s status and positions as well as market conditions.” 

The company did note, though, that in later MegaVault versions, withdrawals might be subject to limitations like lockup times. This may also apply to newly listed marketplaces to guarantee market liquidity.

The feature is currently being developed, according to dYdX, and should be available within the next six months.