21Shares Brings DYDX ETP to Market: A New Chapter in Crypto Derivatives
Swiss asset manager 21Shares has announced the launch of a new Exchange-Traded Product (ETP) tied to dYdX’s native token, DYDX. This innovative offering provides regulated access to one of the largest decentralized derivatives protocols and marks a milestone in expanding institutional participation in decentralized finance (DeFi).
Breaking Down the DYDX ETP
The new product allows institutional and retail investors to gain exposure to dYdX, a protocol known for its focus on decentralized derivatives trading, including perpetual futures. Backed by DYDX tokens held with trusted custodians, the ETP is designed to ensure both liquidity and efficient pricing through its market maker, Flow Traders. This aligns with 21Shares’ ongoing mission to simplify access to DeFi assets through traditional financial instruments.
Why dYdX?
dYdX has already seen massive success, settling over $1.4 trillion in cumulative trading volume across 230 perpetual markets. Despite this, institutional involvement has been hindered by barriers such as custody and compliance concerns. The DYDX ETP addresses these issues by offering a regulated and transparent way to invest, making it easier for institutions to participate in decentralized trading technologies.
A Growing Ecosystem of DeFi ETPs
This launch follows previous DeFi-focused ETPs from 21Shares, including products tied to Uniswap and Aave. Together, these three protocols create complementary layers of DeFi infrastructure, offering investors diversified exposure. According to Mandy Chiu, Head of Financial Product Development at 21Shares, the addition of DYDX to their ETP lineup represents “a pivotal step in the evolution of DeFi.”
Notably, the DYDX protocol redefines the $28 trillion crypto derivatives market, historically dominated by centralized exchanges. Its unique focus on perpetual futures and decentralized governance sets it apart as a trailblazer in the DeFi space.
What This Means for Investors
By packaging DYDX into a transparent ETP, 21Shares allows investors to participate in cutting-edge decentralized derivatives trading through a trusted, institution-grade product. This development signifies a maturing DeFi industry and paves the way for broader adoption among traditional investors.
Looking Ahead
As Europe’s largest crypto ETP issuer with 48 products, 21Shares continues to set the bar in bridging the gap between traditional finance and the blockchain ecosystem. Recent launches include products tracking Cronos, Aptos, and Sui, solidifying their leadership in the market.
For investors or institutions looking to explore this revolutionary financial product, the DYDX ETP provides unparalleled access to one of the most promising sectors in decentralized finance.
Enhance Your Financial Journey with dYdX
If you’re ready to diversify your portfolio, dYdX is a game-changer. Learn more about DeFi investment opportunities with 21Shares today and stay ahead in the futuristic world of decentralized finance.
