DYDX Risk

DYDX (DYDX)
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DESCRIPTION

dYdX is a decentralized exchange (DEX) and lending platform built on the Ethereum blockchain. It provides users with the ability to trade, borrow, and lend various cryptocurrencies directly from their own wallets, without relying on intermediaries. dYdX aims to offer a secure, transparent, and efficient trading experience, while also providing lending and borrowing services to users looking to earn interest or access liquidity.

The platform supports both spot trading and perpetual futures contracts, allowing users to engage in margin trading with leverage. dYdX utilizes smart contracts to facilitate peer-to-peer trading and lending, eliminating the need for a centralized authority. Its native token, also called dYdX (DYDX), plays a key role in the governance and utility of the platform, enabling holders to participate in decision-making processes and earn rewards.

dYdX was founded in 2017 by Antonio Juliano with the goal of creating a decentralized trading platform that empowers users and provides them with more control over their assets. The project has gained recognition within the decentralized finance (DeFi) space, attracting a growing user base and expanding its range of supported assets and features. As DeFi continues to evolve, dYdX remains focused on providing decentralized trading and lending services, contributing to the development and adoption of decentralized finance.

dYdX (DYDX) : https://whitepaper.dydx.exchange/
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RISKS OF DYDX

Any investment in cryptocurrency and digital assets, such as DYDX, can include the following general risks:(i) volatility risk and liquidity risk(ii) short history risk(iii) demand risk(iv) forking risk(v) code defect risk(vi) regulatory risk(vii) electronic trading risk(viii) cyber security risk

For additional information of risks associated with cryptocurrency and digital assets, you may refer to the Satstreet Inc Services Risk Statement. In terms of specific risks, as DYDX is one of the longest-standing crypto assets and its community base is widely decentralized, there is no central working group or authority to disclose material information to the public regarding DYDX. Please note that these risks and the associated summaries or overviews provided for each herein are not intended to be a complete overview of all such risks and, in addition, there may be other risks that come with exposure to DYDX. We encourage all users to perform their own due diligence to assess the risks associated with DYDX and to determine whether this level of risk is acceptable to them. Neither DYDX nor Satstreet guarantees the value of DYDX, and holders of DYDX will not have any recourse to DYDX or Satstreet if the value of DYDX declines for any reason whatsoever.

SATSTREET EVALUATION OF DYDX

Satstreet Inc. has reviewed and assessed DYDX prior to making it available through our services and has concluded that DYDX is not a security or derivative under Canadian securities legislation; however, there is a risk that this conclusion could change in the future and that, in such event, Satstreet will be required to halt, suspend, and then remove DYDX from its platform as described in the Satstreet Inc. Services Risk Statement.

Further, as indicated above, no Canadian securities regulatory authority has expressed an opinion about DYDX, including an opinion that DYDX is not itself a security and/or derivative. Based on publicly available information Satstreet has reviewed DYDX, including, but not limited to, a review of the following: The creation, governance, usage, and design of DYDX, including the source code, security, and roadmap for growth in the developer community and, if applicable, the background of the developer(s) that created DYDX. The supply, demand, maturity, utility, and liquidity of DYDX. Material technical risks associated with DYDX, including any code defects, security breaches and other threats concerning DYDX and its supporting blockchain (such as the susceptibility to hacking and impact of forking), or the practices and protocols that apply to them. Legal and regulatory risks associated with DYDX, including (i) any pending, potential, or prior civil, regulatory, criminal, or enforcement action relating to the issuance, distribution, or use of DYDX, and (ii) statements made by any securities regulatory authorities in Canada, other regulators in IOSCO-member jurisdictions, or the regulator with the most significant connection to DYDX about whether DYDX, or generally about whether the type of crypto asset, is a security and/or derivative.

Last Updated: June 2023

Risk Statements

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