Uma análise de gmx.io copyright
Uma análise de gmx.io copyright
Blog Article
Although GMX V1 provided a relatively comprehensive on-chain derivatives solution and became the largest on-chain derivatives market by TVL, it had several user experience issues. These included high trading fees, potentially high borrowing costs for both long and short positions leading to high holding costs, significant skew in long and short positions causing losses for GLP holders, and the risk of a single asset causing losses for all GLP holders.
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.
The decentralized exchange ecosystem is based on two tokens: GLP and GMX. The first token serves to supply liquidity.
Please ensure that you exercise sufficient risk management, have done your own research in regards to GMX’s fundamentals, and fully understand the project before opting to trade the token.
So why would traders still want to use the GMX protocol for trading? Because the market depth of GMX is excellent, and there are no slippage problems. Because the profit of trading is from the spread trading, using the order book trading or AMM liquidity pool trading will be click here due to a large amount of buying or selling to increase costs or reduce profits, but through the GLP liquidity pool to open.
A: Purchasing GMX tokens is simple if you follow this detailed guide. Ensure you have a compatible wallet and follow the steps below to get started with GMX tokens.
Don’t miss our comprehensive article on DeFi perpetual exchanges and their significant impact on the forthcoming bull market in the copyright space.
Users can deposit their copyright into the GLP pool to become liquidity providers and receive credentials for GLP tokens. Users staking GLP tokens can receive transition fees, funding fees, and liquidation fees, which fees will directly convert to the native assets of that blockchain network.
In more detail, this means that it is comprised of several liquidity pools, and trading on the GMX network is facilitated by these multi-asset pools. Users can provide liquidity to such pools and receive rewards in return. Liquidity provider rewards are sourced from market making, swap fees, and leverage trading.
The esGMX reward can be linearly unlocked into GMX tokens after one year by pledging GMX tokens or GLP tokens to encourage long-term pledging and provide liquidity.
AMM allow digital assets to be traded in a permissionless and automatic way by using liquidity pools instead of a traditional market of buyers and sellers.
Protocol revenue is split 70/30 between $GLP and the other protocol token $GMX. In addition to getting the larger share of protocol revenues, $GLP holders also get all the collateral when positions are liquidated which leads to a fluctuating but over-time growing inflow of revenue.
GMX generates revenue through swap fees, borrow fees on leveraged trading, liquidations, and the minting and burning of GLP. These fees are split between GLP and GMX stakers.
Liquidity providers want high returns, and GMX opens the way to make this possible. As long as the market traders lose money, returns will increase. Liquidity providers do not want to take the risk of loss, GMX uses statistics to show that short-term losses will occur, but long-term profits are the inevitable result.