# Analysis and Proposals on dYdX Chain and DYDX Tokenomics

**URL:** <https://dydx.forum/t/analysis-and-proposals-on-dydx-chain-and-dydx-tokenomics/3093>\
**Category:** Proposals\
**Created:** [October 22, 2024, 11:03am UTC](https://dydx.forum/t/analysis-and-proposals-on-dydx-chain-and-dydx-tokenomics/3093 "2024-10-22T11:03:13Z")\
**Posts on this page:** 1\
**Showing post:** 51

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**Author:** ![AutoStake](https://dub1.discourse-cdn.com/flex013/user_avatar/dydx.forum/autostake/32/2000_2.png) [@AutoStake](https://dydx.forum/u/AutoStake)\
**Post date:** [October 26, 2024, 10:59am UTC](https://dydx.forum/t/analysis-and-proposals-on-dydx-chain-and-dydx-tokenomics/3093/51 "2024-10-26T10:59:09Z")

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> [@shellvish](#):
>
> dYdX contributors and validators have done a truly spectacular job at optimizing the dYdX chain - block times are down to ~1.1s running a fully decentralized network. This is done through many technical optimizations on the chain-level, as well as social coordination among validators to optimize the geographic placement of their nodes.

We are have plenty of scope to optimise block times further as is with 60 validators based close together like DYDX recommends

Check out Injective, they have 60 geographically distributed validators across the world amf are still able to achieve 0.6s block times

Happy to share the config changes necessary to achieve this.

We can even beat that, when all validators are based close together plus we can also do direct peering, etc:

 ![image](https://europe1.discourse-cdn.com/flex013/uploads/dydx/original/2X/a/a8bde78b61e0d15c985f60da3edc3061f2953735.png)

Reducing the validator set will cause irreversible damage to the decentralisation score of DYDX and damage DYDX social reputation.

> [@shellvish](#):
>
> However, the reality is that other decentralized perp markets, like Hyperliquid, operate in a pseudo-centralized manner with few nodes that are tightly colocated. This allows them to give extremely strong guarantees to traders around trade execution, which drives much more liquidity and volume to the venue.

Hyperliquid are moving to a decentralised validator set model too, its already making progress, just check their github.  
This was spurred on after being called our for being centralised publicly on twitter.

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