21Shares dYdX ETP provides regulated, exchange-traded exposure to the DYDX token, enabling institutional and retail investors to access decentralized derivatives via a custody-backed ETP. The product streamlines custody, pricing, and daily creations/redemptions to align with net asset value.
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Regulated ETP giving exchange access to DYDX tokens
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Backed one-to-one by custodial DYDX holdings with market maker support for liquidity
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Extends institutional access to decentralized perpetual futures markets; dYdX reports $1.4T cumulative trading volume
21Shares dYdX ETP offers regulated DYDX exposure for investors; learn how to access decentralized derivatives via an ETP on exchanges. Read more.
What is the 21Shares dYdX ETP?
The 21Shares dYdX ETP is an exchange-traded product that provides regulated, custody-backed exposure to the DYDX token on public exchanges. The ETP holds DYDX tokens with institutional custodians and uses daily creations/redemptions and market-maker support to keep market price aligned with net asset value.
How does the 21Shares dYdX ETP work?
21Shares issues the ETP as a note backed one-to-one by DYDX tokens held in custody. Market maker Flow Traders facilitates liquidity and efficient pricing. Daily creations and redemptions ensure the ETP tracks the underlying DYDX net asset value, while custodial controls address institutional compliance and operational requirements.
Why did 21Shares add DYDX to its DeFi lineup?
21Shares expanded its DeFi ETP lineup to include DYDX because the protocol uniquely focuses on decentralized derivatives and perpetual futures. Adding DYDX complements existing ETPs for Aave and Uniswap, allowing investors to selectively allocate across lending, AMM, and decentralized derivatives infrastructure.
What institutional barriers does the ETP address?
The ETP tackles custody, compliance, and operational barriers that have limited institutional participation in decentralized derivatives. Custodial token storage, regulated ETP issuance, and established market-making arrangements reduce institutional frictions for exposure to an on-chain derivatives ecosystem.
Comparison: DYDX ETP vs. Aave and Uniswap ETPs
| Feature | DYDX ETP | Aave ETP | Uniswap ETP |
|---|---|---|---|
| Primary exposure | Decentralized derivatives (perpetuals) | DeFi lending protocol | Automated market maker (AMM) |
| Custody | Institutional custodians | Institutional custodians | Institutional custodians |
| Liquidity support | Market maker (Flow Traders) | Market maker support | Market maker support |
When did trading begin and what scale does dYdX represent?
Trading for the 21Shares dYdX ETP began this week. dYdX reports more than $1.4 trillion in cumulative trading volume across 230 perpetual markets, underscoring the protocol’s scale in decentralized derivatives.
Frequently Asked Questions
How can retail investors access the DYDX ETP?
Retail investors can buy the ETP through participating exchanges and brokerages where 21Shares lists its products. The ETP trades like an exchange-listed note and does not require direct on-chain custody by the investor.
Does the ETP facilitate activity on the dYdX protocol?
No. The ETP offers price exposure to the DYDX token only and does not enable transactions or activity on the dYdX protocol itself — similar in structure to other token-backed ETPs.
Key Takeaways
- Regulated access: The 21Shares dYdX ETP provides exchange-listed exposure to DYDX for institutional and retail investors.
- Infrastructure fit: DYDX complements Aave and Uniswap ETPs as a decentralized derivatives layer in the 21Shares DeFi suite.
- Institutional readiness: Custody, market-maker liquidity, and daily NAV alignment address common institutional barriers.
Conclusion
The 21Shares dYdX ETP marks a step in packaging decentralized derivatives for regulated markets, broadening institutional and retail access to DYDX. By combining custodial safeguards, market-maker liquidity, and an exchange-listed structure, the product aims to simplify exposure to a maturing segment of DeFi. Monitor listings and prospectus details to assess fit for portfolios.
Published: 2025-09-11 • Updated: 2025-09-11 • Author/Organization: COINOTAG
