Wootrade and dYdX strategically partner on liquidity management, institutional market making, and user growth strategies.
On April 6th, dYdX launched its Layer 2 Ethereum-based platform for decentralized perpetual swaps. The platform is built on StarkWare’s zero-knowledge Layer 2 solution, bringing speed and gas-free transactions to traders seeking a leveraged trading environment. Layer 2 gives dYdX a performance similar to centralized trading platforms, minus the custodial risk. As one of the earliest DeFi participants, the dYdX team has a deep understanding of the industry and has built a strong community of users and builders, backed by the top partners in the space.
One of the prerequisites for any trading platform is liquidity, and few are positioned better to supply this than Wootrade. Wootrade’s team has decades of experience supplying liquidity both in the traditional finance space and later exclusively for digital assets. Wootrade is able to provide industry-best pricing by aggregating and connecting liquidity across multiple institutional trading platforms, including leading market makers and quantitative trading teams.
Jack Tan, Wootrade co-CEO, stated that “Wootrade’s goal is to build a bridge, pairing the superior price execution of CeFi with the advantages of decentralization. dYdX is an ideal access point and we are confident that this partnership will, over time, bring tremendous growth to both the dYdX platform and Wootrade’s liquidity network. ”
Kronos Research—the leading quantitative trading firm responsible for incubating Wootrade — will also be involved as a market maker on dYdX.
“We are excited to have Wootrade and Kronos join the dYdX ecosystem as a market maker and take on a growing role,” said Vijay Chetty, Head of Business Development at dYdX. “Wootrade plays an important role in supporting deep liquidity for dYdX perpetuals, and its trading platform with a bridge to centralized exchange liquidity will help to drive long-term price discovery, trading efficiency, and overall growth of the dYdX ecosystem.”
“We are thrilled to launch as one of the early market makers on dYdX’s new platform,” said Hank Huang, CTO of Kronos Research. “Our advanced trading algorithms will serve as the bridge between dYdX’s new and innovative DeFi markets and Wootrade’s deep liquidity and best pricing, providing the best derivatives trading experience for all DeFi users.”
Apart from their cooperation in liquidity management, the platforms will work together to build stronger communities and improve their trading ecosystems. Yiran Tao, Head of China at dYdX, stated that “ The Asian market will be a major strategic focus for dYdX and we are very excited to work closely with Wootrade to expand in the Asian market and build an active trader community together.”
dYdX is a leading decentralized exchange built by developers on a mission to build open, secure, and powerful financial products. dYdX runs on audited smart contracts on Ethereum, which eliminates the need to trust a central exchange while trading. They combine the security and transparency of a decentralized exchange, with the speed and usability of a centralized exchange. Learn more at: https://trade.dydx.exchange.
The Wootrade Network combines global liquidity and top market-makers to provide ultimate liquidity for exchanges, wallets, DeFi platforms, and large traders. Wootrade was founded by Kronos Research, one of the top market makers and quantitative trading firms in the world, which process more than $5 billion in trading volume per day. Wootrade is building a diverse product set that touches both CeFi and DeFi verticals, including first-party trading platform WOO X, pricing oracles, investment products, social trading, and other functionality that will augment use cases for the WOO token.