DeFi witnessed a huge demand in the summer of 2020, as individual and institutional investors turned to this young market to win what it offers.

The number of users of decentralized trading platforms has also increased significantly, as Uniswap has become one of the strongest trading platforms.

Many decentralized trading platforms compete to take a share of them as well, among these platforms we find the “dYdX” platform

Recently, announced Ethereum-based decentralized trading platform dYdX has raised $10 million in a new B funding round led by Three Arrows Capital and DeFiance Capital.

For new investors to the platform, they are:

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“Wintermute, Hashed, GSR, SCP, Scalar Capital, Spartan Group, RockTree Capital, a16z, Polychain Capital, Kindred Ventures”…

Millions pour into the DeFi market:

The decentralized trading platform “dYdX” is aimed at more experienced crypto derivatives traders.

dYdX’s infrastructure combines decentralized settlement on the blockchain with a low-latency off-network matching engine with order books to deliver a trading experience that scales to institutional trading and provides high liquidity.

User base and trading volumes have grown exponentially in 2020 as larger players tend to benefit more from DeFi than smaller merchants being stung by high gas fees.

She told dYdX that the cumulative trade volume across perpetual contract trading, margin trading and spot trading increased 40 times, reaching $2.5 billion in 2020, and previously was only $63 million in 2019.

In terms of users, unique wallets that deposit funds into trading platforms’ smart contracts increased nearly fivefold from 8,000 wallets to 38,588 wallets as of December 31.

dYdX added that since the beginning of 2021, the cumulative total trade volume has exceeded $3.5 billion.

According to the siteDefipulse.comThe “dYdX” platform was included in the eighteenth place on the list of protocols in which “TVL” funds are deposited, as the value of the locked funds reached 145 million dollars.

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In February 2021, dYdX will launch a Layer 2 solution with StarkWare using zk-Rollups for perpetual contracts.

The announcement added that the funding will be used to further decentralize it with the promise of handing over more control to users as well as adding new digital assets and currencies to its perpetual contracts.

dYdX will also invest strategically in expansion and growth into new markets with a focus on Asia and China in particular.

Discussion of the decentralization of the “dYdX” platform:

There has been a lot of debate about whether a truly decentralized project can call itself “decentralized” if it is backed by venture capitalists who are entitled to a share of any project cryptocurrencies or future rewards.

The dYdX platform can be likened just like projects that have stakeholders and whales control the voices of governance and future direction of the protocol and project.

Last week, Uniswap founder Hayden Adams responded to a thread started by Synthetix founder on exactly this topic:

🔥 This thread is awesome

I may have sounded anti-token/ICO in the past, but I really believe that projects should prove themselves before amassing huge sums of dollars.

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“VC bad” is a reference to slow virtue

I am only optimistic about projects that prove themselves by building new and useful things

Hayden Adams 🦄 (@haydenzadams) Jan 20 2021

Chris Blake, a decentralized finance market analyst, who has been highly critical of any form of decentralization of crypto projects, commented:

Venture capital participation inevitably leads to good decisions for founders and strategic investors, but bad for users.

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