The price of dYdX (DYDX) soared by nearly 11% following the announcement of its inaugural buyback program, peaking at $0.76 before stabilizing around $0.7124, reflecting a 7.38% increase over the past 24 hours.
Market Reaction to Announcement
The announcement fueled a dramatic surge in trading activity, with the 24-hour trading volume surging 270.84% to $41.1 million. As a result, dYdX’s market capitalization has reached approximately $542.67 million.
Details of the Buyback Program
The new buyback program will dedicate 25% of the protocol’s net fees to repurchasing DYDX tokens directly from the open market. These repurchased tokens will then be staked to enhance network security, which could also reduce the circulating supply over time.
dYdX Achievements and Overall Market Growth
This breakthrough comes alongside significant strides for dYdX. The platform is introducing substantial upgrades, such as Spot Trading, Multi-Asset Margining, and EVM compatibility, all crafted to pull in more users and heighten trading activity. Over the past year, dYdX has managed an impressive $270 billion in trading volume, elevating its lifetime total to a striking $1.46 trillion. At the same time, the broader crypto market is riding a wave of optimism, with the total market capitalization increasing by 3.34% to $2.87 trillion in the last 24 hours.
The dYdX buyback program announcement has significantly boosted its market performance and contributed to the positive sentiment in the cryptocurrency market. The introduction of new platform features and global trading volume growth highlight the promising outlook for dYdX.
