Many decentralized exchange aggregation protocols also favor the zero transaction spread of the GMX protocol. Yield YAK, a revenue aggregation protocol on the Avalanche blockchain network, has more than 35% of its trading volume done through the GLP liquidity pool.
GMX respects the privacy of its users. The copyright uses advanced privacy features to ensure that user data is kept confidential and secure.
The decentralized exchange ecosystem is based on two tokens: GLP and GMX. The first token serves to supply liquidity.
GMX does not use an order book to create a trading market or AMM to make quotes, so theoretically, there is no slippage. As long as liquidity is in the liquidity pool, orders of any size can be absorbed instantly without impacting the market price.
1) GMX/ETH liquidity is provided and owned by the protocol, the fees from this trading pair will be converted to GLP and deposited into the floor price fund
GMX is the utility and governance token. Accrues 30% of the platform's generated fees and distributes it to all GMX stakers.
Entenda saiba como resulta a corretora descentralizada GMX e saiba saiba como incluir este token pelo seu portfólio
GMX is known for its model which aims to maximize efficiency of capital locked in the protocol to facilitate spot and perpetual trading.
In that case, suddenly, a large number of users in the market using USDC stablecoins to buy LINK tokens in stock, the number of LINK tokens in the GLP liquidity pool will decrease dramatically, and the increased utilization of funds will prompt the contract to go long. The funding rate of LINK will rise rapidly. In other words, the price impact of large transactions on the liquidity pool is still there, but the cost is passed on to traders as funding rates.
The development team of the GMX protocol is also very much in the style of Web 3, and the members are all anonymous, so no one knows who they are yet, but the only thing for sure is that they have made a great product. According to the list of members of the social software Telegram, the GMX team consists of the following members (all names are displayed in more info Telegram)
Com 1 que funcionem complexo e promissor, a rede GMX vem atraindo os olhares atentos por investidores que projetam bons efeitos da rede em 1 futuro próximo.
When the ratio of the Floor Price Fund to the Completa amount of GMX in circulation is lower than the market price of GMX, it will buy back and destroy the GMX in circulation so that the price cannot fall further.
Image Credit: CoinGecko As the bear market continues, investors will be looking for protocols with real users and sustainable revenues. In my humble opinion, GMX fits the bill and will be the front-runner when the market is headed back up again.
Unlike typical liquidity pools, GLP users experience no impermanent loss and benefit directly from trading fees and leveraged trading outcomes, as per the protocol.