GMX introduces Single-Token Pools, starting with yield-earning BTC and ETH liquidity pools on Arbitrum!

Starting earning on your BTC & ETH now: https://app.gmx.io/#/earn

These new markets allow liquidity providers to earn fees from supporting trading while maintaining their full crypto exposure. They simultaneously provide GMX integrations with a composable, highly correlated yield-generating product.

This introduction of 100% BTC and ETH pools will help draw in additional liquidity to further scale capacity for GMX’s markets. The new pools have the potential to unlock a significant portion of the over 35 Billion TVL spread across lending markets.

Assuming these new single-token pools for ETH and BTC perform well, it opens up the interesting possibility of other single-token pools — including stablecoin, yielding stablecoin, LSTs, GMX tokens, and other volatile assets — backing markets on GMX v2.

GMX is a decentralized perpetual swap and spot exchange. Traders can use it to easily trade cryptocurrencies on-chain, just by connecting their wallets!

GMX introduces Single-Token Pools, starting with yield-earning BTC and ETH liquidity pools on Arbitrum!  Starting earning on your BTC & ETH now: https://app.gmx.io/#/earn  These new markets allow liquidity providers to earn fees from supporting trading while maintaining their full crypto exposure. They simultaneously provide GMX integrations with a composable, highly correlated yield-generating product.  This introduction of 100% BTC and ETH pools will help draw in additional liquidity to further scale capacity for GMX’s markets. The new pools have the potential to unlock a significant portion of the over 35 Billion TVL spread across lending markets.  Assuming these new single-token pools for ETH and BTC perform well, it opens up the interesting possibility of other single-token pools — including stablecoin, yielding stablecoin, LSTs, GMX tokens, and other volatile assets — backing markets on GMX v2.

GMX’s Arbitrum S.T.I.P. campaign has ended, so let's evaluate its achievements. Did the protocol successfully bootstrap V2, and cement its role as the foundational liquidity base layer for 

To recap, the campaign's main goals were to:

🔸 Stimulate on-chain engagement with DeFi on Arbitrum by increasing the activity on GMX V2.

🔸 Create a range of perpetual and spot pools that are highly liquid, yield-earning, composable and capital-efficient.

🔸Utilise part of the STIP grant for a Grants Program for Arbitrum ecosystem partners building on GMX V2.

🔸Convert centralised exchange users to DEX users, and foster a vibrant on-chain trading environment.

Were those goals achieved? To achieve them, GMX opted for a three-pronged approach: Liquidity incentives for liquidity providers, Trading incentives for traders, and Grants incentives for builders.

We'll discuss these three elements one at a time. Today, let's focus on number 1: 👇

GMX’s Arbitrum S.T.I.P. campaign has ended, so let's evaluate its achievements. Did the protocol successfully bootstrap V2, and cement its role as the foundational liquidity base layer for #DeFi  on @Arbitrum_CMC ?      To recap, the campaign's main goals were to:     🔸 Stimulate on-chain engagement with DeFi on Arbitrum by increasing the activity on GMX V2. 🔸 Create a range of perpetual and spot pools that are highly liquid, yield-earning, composable and capital-efficient. 🔸Utilise part of the STIP grant for a Grants Program for Arbitrum ecosystem partners building on GMX V2. 🔸Convert centralised exchange users to DEX users, and foster a vibrant on-chain trading environment.     Were those goals achieved? To achieve them, GMX opted for a three-pronged approach: Liquidity incentives for liquidity providers, Trading incentives for traders, and Grants incentives for builders.     We'll discuss these three elements one at a time. Today, let's focus on number 1: 👇

Week in DeFi: Lido V2 Launches, GMX Synths in Testnet and Cosmos Mesh Security

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A Deep Dive Into GMX

Check out our [deep dive into GMX](https://coinmarketcap.com/alexandria/article/a-deep-dive-into-gmx).

## What is GMX? 

GMX is a decentralized exchange ([DEX](https://coinmarketcap.com/alexandria/glossary/decentralized-exchange-dex)) for trading perpetual cryptocurrency futures with up to 50X leverage on popular cryptocurrencies like [BTC](https://coinmarketcap.com/currencies/bitcoin/), [ETH](https://coinmarketcap.com/currencies/ethereum/) and more. The platform launched in September 2021 as Gambit Exchange. To date, GMX has a total trading volume of over $130B and 283K total users, making it the leading derivatives DEX on Arbitrum and Avalanche.

GMX runs on the [Arbitrum](https://coinmarketcap.com/alexandria/article/what-is-arbitrum) and the [Avalanche blockchain](https://coinmarketcap.com/alexandria/article/what-is-avalanche-a-guide-to-avalanche-s-ecosystem). These ecosystems are connected to the exchange via Synapse — a cross-chain [bridge](https://coinmarketcap.com/alexandria/article/what-are-cross-chain-bridges).

## Who Are the Founders of GMX?

The founding team is anonymous, however, the lead developer is likely @xdev_10 on Twitter.


## What Makes GMX Unique?

Instead of an [order book](https://coinmarketcap.com/alexandria/glossary/order-book) model employed by centralized exchanges (CEXs), trading occurs via its an innovation to the automated market model (AMM) deployed by DEXs like Uniswap. It features a native multi-asset pool, GLP, which generates revenue for liquidity providers.

GLP operates as a multi-asset [liquidity pool](https://coinmarketcap.com/alexandria/article/what-are-liquidity-pool-lp-tokens) ([LP](https://coinmarketcap.com/alexandria/article/what-are-liquidity-pool-lp-tokens)) which comprises of ETH, BTC, LINK, UNI, USDC, USDT, DAI and FRAX at the time of writing. Market prices depend on Chainlink's oracles, which collect token price data from all the top exchanges. 

The decentralized exchange ecosystem is based on two tokens: GLP and GMX. The first token serves to supply liquidity. The GLP price reflects the value of all GMX assets, which are listed for trading with leverage and swaps. In other words, GLP is an index of all assets on the exchange. GMX is the utility and governance token.

Users can add liquidity by minting GLP, and in return, they receive 70% of all fees generated on the corresponding blockchain. Unlike some liquidity pools, GLP experiences no impermanent loss. Furthermore, the GLP pool acts as a counterparty for traders. When GLP token holders supply liquidity for leveraged trading, they profit when traders incur losses, and the opposite is also true.

### Related Pages

Check out our [deep dive into GMX](https://coinmarketcap.com/alexandria/article/a-deep-dive-into-gmx).

Learn about [dYdX](https://coinmarketcap.com/currencies/dydx/) — another popular derivatives DEX.

Find out more about [Arbitrum](https://coinmarketcap.com/currencies/arbitrum/) — the leading Ethereum Layer-2 scaling solution.

Check out [Avalanche](https://coinmarketcap.com/currencies/avalanche/) — an EVM-compatible blockchain.

Learn more about [perpetual contracts](https://coinmarketcap.com/alexandria/glossary/perpetual-contracts) with CMC Glosssary


## How Many GMX Coins Are There in Circulation?

At the time of writing, the GMX token circulating supply is over 8.7M. The expected maximum supply is 13.25M GMX tokens.

The tokenomics is as follows: 6M GMX allocated for XVIX and Gambit migration; 2M GMX paired with ETH for liquidity on Uniswap; 2M GMX set aside for vesting from Escrowed GMX rewards; 2M GMX tokens to the floor price fund; 1M GMX tokens designated for marketing, collaborations and community developers; 250K GMX tokens distributed to the team linearly over a 2-year period.


## How Is the GMX Network Secured?

GMX is on the Arbitrum and Avalanche blockchain. 

Arbitrum is a layer-2 blockchain which derives its security from the Ethereum network, which provides consensus and finality for Arbitrum transactions. In other words, Ethereum guarantees the validity of the rollup’s off-chain computation and data availability behind the computation.

On Avalanche, unlike proof-of-work or proof-of-stake, the Avalanche consensus mechanism does not have one leader processing transactions that get validated by others. Instead, all nodes process and validate transactions by employing a directed acyclic graph (DAG) protocol. That way, transactions are processed simultaneously, and validators' random polling ensures that transactions are correct with statistical certainty. There are no blocks in this consensus mechanism, allowing immediate finalization and significantly improving the blockchain’s speed.

The GMX contracts are also audited by ABDK Consulting, and there is an active bug bounty for GMX on Immunefi.


## Where Can You Buy GMX?

GMX is available on several cryptocurrency exchanges, including [Binance](https://coinmarketcap.com/exchanges/binance/), [KuCoin](https://coinmarketcap.com/exchanges/kucoin/) and [Kraken](https://coinmarketcap.com/exchanges/kraken/).

Want to keep track of GMX prices live? Download the [CMC mobile app](https://coinmarketcap.com/mobile/) to follow the real-time prices of GMX, BTC and other cryptocurrencies.