I'm always looking for tokens with real good fundamentals, and $DYDX is always the one I can't get around.

From any perspective, it can be called a "good coin".

The team has never stopped building and improving since the beginning of the dydx protocol, whether it was the transfer from starknet to cosmos to build a separate chain, or their improvement of off-chain centralized transaction matching into a completely decentralized order book, or even the strict voting for listing coins, plus their recently launched completely permissionless listing of coins, all of which reflect their pure ideals and persistence in decentralization.

Also, they actually distributed all the income from the protocol to the dydx stakers, 100%.

They even make people feel a little too pedantic and alternative, with a kind of classical persistence and inflexibility.

What people with high emotional intelligence say: They seem to only know how to focus on their work.

However, all of this has become the biggest original sin in the face of the falling price of dydx. dydx has been falling all the way from the high point of $27. It had a brief highlight in this round of bull market, and then it fell endlessly. Now it is still hovering at the bottom. Those who bought it because of its good fundamentals have gone from hope to disappointment, to endless disappointment, to numbness. dydx has become the representative of the decline. Those who hold dydx have gone from defending it to scolding it, and they are speechless.

Do you blame the people who curse it? Of course not. After all, people buy dydx to make money, not to practice the ideal of decentralization. If a coin does not rise after buying it, then it should be cursed. This has always been the logic of the currency circle. If this most basic logic is violated, it will be spurned and cursed.

But I myself have never been able to truly hate this coin. Although my current dydx holdings have reached the cost edge, and I have wanted to liquidate it several times, every time I want to completely break off with it, I finally stop pressing the sell button, because after putting aside my emotions, no matter how I analyze it, I have to admit that in the entire encryption circle, dydx is still a rare and excellent protocol.

1. Dydx has a luxurious investment lineup (although now anyone who is involved in VC is regarded as a sickle and is despised)

2.dydx's airdrop is the most generous and luxurious airdrop ever

3. Dydx Company, the Foundation attaches great importance to compliance and has made legal isolation from the beginning

4. Dydx has been transferred to Cosmos to build a separate chain. The future scalability and independence have great advantages over parasitism on a chain. It is currently the derivatives dapp (chain) with the largest trading volume.

5.dydx 100% dividends, and direct dividends in USDC, currently 12% to 25% APR, income is not locked and can be withdrawn at any time

6. DYDX will open a completely unlicensed market in the future, where all tradable items can be traded, including derivatives outside the cryptocurrency circle. If this is achieved, trading volume will rise to a new level, driving up APR.

7. The large-scale unlocking of dydx came to an end in June this year, and the biggest selling pressure has been digested.

8. Most importantly, they don’t chase hot topics or play with concepts. Their goal has always been to be the largest decentralized derivatives exchange. This is a breath of fresh air in the impetuous cryptocurrency world where sectors rotate very quickly. Moreover, although they often postpone, they always implement the planned roadmap in the end. They are not the kind of protocol that does not build or improve.

Of the above 8 advantages, I will focus on 7 and 8:

Regarding the large amount of unlocking of dydx, this is the most criticized point, and perhaps the main reason why dydx's fundamentals are strong and the price of the currency is falling. If you study their token model, you will find that the token distribution design of dydx is not very reasonable:

On December 1, 2023, 150 million will be unlocked at one time.

From January to June 24, a total of 200 million will be unlocked, with 33333333 unlocked on the 1st of each month.

From July 24 to June 25, 100 million will be unlocked, 8333333 per month

From July 25 to June 26, 4,166,666 unlocked every month

From an optimistic point of view, the darkest days have ended in June. The subsequent monthly unlocking of 8.33 million has decreased by 75% compared with the previous unlocking volume. Compared with the total circulation of 600 million, it only accounts for about 1.4%, which is insignificant from a mathematical statistical point of view.

Regarding dydx's not chasing hot spots and not playing with concepts: In the eyes of many people, it is not an advantage, but a disadvantage, because no matter AI, rwa, inscriptions, meme, whenever the sector becomes hot, you will find that some protocols will jump out to cater to and embrace these hot spots, thereby harvesting a wave of heat and ushering in a wave of sharp rises in the price of coins. However, those who hold dydx will never have such excitement and surprises. They stick to their goals and cultivate their own land with the slow efficiency unique to Europeans and Americans. Being in it, especially those who hold dydx, it is inevitable that they will feel lonely that the excitement is theirs and I have nothing. Therefore, it is understandable that dydx bears some accusations and scoldings. This is the backlash that they must bear for their style.

But for me, isn’t this kind of resilient and ethical protocol what I’m looking for? I’m also jealous of those hot protocols and those crazy-rising coins, but I can’t make a move. First, I don’t have the ability to chase hot spots, and second, it doesn’t fit my investment style. I ask myself, even if I can find those hot coins, I probably won’t be able to hold on to them if they fluctuate a little.

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Of course, dydx is not without its shortcomings.

1. The trading UI is very difficult to use, and many people complain about it, at least for Chinese people. So far, there is no sign of any change.

2. The USDC/USDT channel from CEX to DYDX is still blocked. Of course, this is not a problem of DYDX, but a problem of the entire Cosmos ecosystem.

3. Currently, the integration of keplr wallet is still not supported. Although it is already in the plan, the efficiency is really hard to praise

4. Dydx's Twitter/Discord and other communication channels are close to negative assets. Apart from a bunch of nonsense, it seems that they don't know what to post.

5. Anthony, who has resigned as CEO, is quite arrogant

6. Compared with dex, dydx still has a long way to go in terms of trading currencies and listing speed.

But I think these shortcomings are harmless and non-structural, which will be solved over time. Moreover, they have already realized many of the problems and have added them to the roadmap.

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Having written this, I have brainwashed myself once again. I don’t know if this interpretation or analysis is 100% correct. After all, in the cryptocurrency circle, the more frivolous and novel the concept is, the more it is praised. The more down-to-earth and conventional it is, the more it is ignored. We all expect value to return, but what if the cryptocurrency circle does not believe in value return, or the return cycle is far beyond our tolerance?

who knows？

Investment is the realization of one's own cognition and luck. I found dydx, studied it, understood it, appreciated it, and still had great hope for the cessation of unlocking selling and unlicensed listing of coins. Although there has always been a torn gap between its price and its fundamentals, isn't that what investment is all about? We have always said that investment is tormenting, and perhaps dydx is now going through a tormenting stage.

Of course, if it continues to fall, then you can only admit that this is your own misfortune. It is always a virtue to accept defeat.

I bet $DYDX

Friendly reminder: "I hold dydx, personal opinion, dyor"