DYdX lends US$1 billion in crypto
Decentralized exchange DYdX has reported a big spike in loans in the last months. Traders were borrowing digital funds hoping to see gains during high market volatility.
The exchange reported, that in the last 12 months US$1 billion worth of loans originated on its platform. Major part of this figure - around US$700 million came in the last two months. Traders were encouraged by rapid market swings of the period.
DYdX has a backing of Coinbase and Andreesen Hotowitz. Traders can use the protocol to trade, borrow and lend Ethereum, USDC and dai. Users have an option to borrow funds at 1.25x the collateral value, which is being held in a smart contract.
DYdX also enjoys a surge in trading. Overall volumes went up from around US$4 million and reached US$20 million during the last weeks of 2019. In February volumes surpassed a US$150 million mark. By March it went up further, reaching US$202 million.