30% of the fees collected from swaps and leverage trading conducted on the platform are converted to either ETH or AVAX and distributed to GMX stakers.
On the surface, the GMX protocol fulfills the wishes of almost all liquidity providers: long-term, stable, low-risk, high-yielding gold flows. But the truth is less rosy than it seems because GLP liquidity pools are more than just deposits and lending like banks. Their excess returns well above the general market interest come from traders’ forfeited margin, and the increased risk taken is traders’ profit.
This helps to ensure that referrers receive the rebates for the users they brought onto the platform. Here is the link to apply for the referral program.
This isolation prevents all liquidity providers from facing risk if one asset’s price is manipulated, as seen in past AVAX price manipulation attacks.
Please also note that data relating to the above-mentioned copyright presented here (such as its current live price) are based on third party sources. They are presented to you on an “as is” basis and for informational purposes only, without representation or warranty of any kind.
The dealer always hopes that a gambler’s error in judgment will result in a margin forfeit, even if the opening desk fee and hourly interest income mitigate the occasional lucky win.
Total staking value has topped $400 million and cumulative trading volume has surpassed $55 billion in the year since the GMX protocol was developed, making it the third-largest decentralized exchange on Arbitrum after Uniswap and Curve.
GMX is a decentralized exchange built on Avalanche and Arbitrum. It lets DeFi users trade with up to 30x leverage in a permissionless manner. GMX offers a smooth user experience that's perfectly suited to retail DeFi traders. Share this article
In this article, we’ll delve into read more what sets GMX apart from other decentralized exchanges, discuss its unique features, and explore how it’s poised to succeed in the upcoming copyright bull market.
GMX is a decentralized spot and perpetual exchange that supports low swap fees and zero price impact trades. GMX is the native utility and governance token.
All copyright holders contribute to the Completa liquidity, whereas speculative traders and users with a net demand for buying and selling are responsible for most of the trading activity. However, there is often friction between the wants and demands of those who offer liquidity and those who buy and sell transactions.
The goal of a liquidity provider is to passively deposit assets to earn income without the need for complex operations, which GMX does very well because GLP liquidity pools are used in a way that is not much different from depositing in a bank account. Liquidity providers are wary of erratic losses, which GMX also addresses, as GLP liquidity pools are single-asset deposits and withdrawals that do not convert the deposited assets into other assets due to price fluctuations.
GMX is a blockchain-based project that operates as a decentralized spot and perpetual exchange. It allows traders to trade their cryptocurrencies directly from their wallets.
The most important thing for an exchange is liquidity, which is needed to create a deep enough trading market to attract many people to use and generate revenue.