DeFi Token Blows Past Bitcoin, Ethereum Gains With 30% Surge After Governance Tokens Issue

Decentralized exchange dYdX’s native token DYDX DYDX/USD is rallying over 30% in the last 24 hours, surpassing Bitcoin BTC/USD, Ethereum ETH/USD gains.

What Happened: At the time of writing, DYDX was trading at $3.174. Apex crypto above $23,000, up 1.2% and ETH at $1,584 up 1% in the last 24 hours.

The rise in DYDX price came after the dYdX Foundation on Tuesday issued new governance tokens for its Layer 2 protocol on the blockchain.

See More: Best Crypto Day Trading Strategies

According to a blog post by dYdX, an initial allocation of 1 billion DYDX tokens, programmed to become accessible over five years, was minted and made available starting August 3, 2021. To ensure fair distribution, 27.7% of the tokens were reserved for past investors of dYdX Trading Inc., 15.3% for founders, employees, and advisors of dYdX Trading Inc. and dYdX Foundation, and 7.0% for future employees and consultants of both organizations. 

The purpose of the governance token is to enable a community-governed protocol and to align incentives among traders, liquidity providers, and partners. 

Read Next: Bitcoin, Ethereum, Dogecoin Spike Ahead Of Fed Decision: Analyst Sees Apex Crypto Hitting 'Triple-Headed Resistance Monster'