dYdX Chain - alpha stage deep dive

dYdX Chain
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photo_2023-10-27 11.22.01
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After the successful launch of the dYdX Chain yesterday at 17:00 UTC, we are in the Post Genesis Phase & this involves two crucial stages;

:lock:Alpha Stage - Network Gains Security
:desktop_computer: Beta Stage - Limited Trading Enabled

The Alpha stage focuses on staking, stabilizing and securing the dYdX Chainđź”’

Staking DYDX directly contributes to dYdX Chain security. As more DYDX holders choose to stake their tokens to a diverse set of Validators, it becomes increasingly difficult for a coordinated attack

During the Alpha stage the dYdX Operations subDAO team will measure clear performance metrics to analyze the dYdX Chain’s readiness;

:one: Sufficient DYDX tokens are staked to secure the network
:two: No further updates or fixes are needed
:three: Among other benchmarks

The transition from the Alpha stage to the Beta stage hinges on a successful community vote via dYdX Governance, the stability and security of the dYdX Chain network and the readiness of the indexer infrastructure, among other factors.

Read the tl:dr on the Alpha stage :point_down:

Pay attention to the announcement on Monday 30th October (subject to official confirmation) and for more information about how to bridge.

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What amount are you aiming for? Are you considering the December 1st unlock in those calculations?

What other benchmarks will you be tracking?

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The locked tokens can be moved to dydx chain so unlock is not an issue

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Indeed, but if they are aiming for a percentage of circulation supply, let’s say 50% staked of circulating supply, that changes in December. Thats why I’m asking if the upcoming token unlock figures in their calculations.

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Hi Luisqa,

Thank you for your questions. We want to make sure that the dYdX Chain is running smoothly and securely. This depends not only on the amount of DYDX tokens staked with Validators.

Some of the additional metrics we observe are:

  • Distribution of stake weight
  • Geographic distribution of Validators
  • Block Time
  • Stability of the chain
  • Functional bridge

As soon as the dYdX Operation subDAO and the appropriate dYdX governance community deem the dYdX Chain secure, we are comfortable with recommending that a community member puts forward a governance proposal to enable trading on the dYdX Chain.

I hope this answers your questions.

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Appreciate it the response as always. I feel the actual, hard metrics should be public, also curious who the “appropriate dYdX governance community” is.

  • Distribution of stake weight - What is the goal here? Nakamoto of >10? Will SubDao do anything to correct if lower? What actions can we take as a community?
  • Geographic distribution of Validators - How many countries/regions are you targeting? What is being used to track this? Observatory?
  • Block Time - What is the target? We are currently at ~1.5s, is the goal closer to 1 or is anything below 2s ok?
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We are observing dashboards like this one and this one, in addition to subjectively asking for validator feedback to assess how the dYdX Chain is performing.

The dYdX Ops subDAO will not be deciding when or if trading should be enabled, rather, this is a decision that the appropriate dYdX governance community needs to align on.

The dYdX community will play a key role in securing the dYdX Chain. Those who choose to bridge their ethDYDX to DYDX may decide to stake their DYDX to support the notion of dYdX Chain security.

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