KPK is pleased to present the dYdX Treasury SubDAO’s June Community Update, which outlines recent developments, DYDX metrics, and programme execution.
This update is accompanied by KPK’s June Treasury Report, which provides a detailed review of treasury performance and strategy.
Market Update
June 2026 was a severe risk-off month for digital asset markets, with Bitcoin and Ether both falling around 20% as a hawkish Federal Reserve, renewed US–Iran tensions and record ETF redemptions combined to drain liquidity. A multi-billion-dollar liquidation cascade in the first week accelerated the decline, and the market never regained its footing through month-end.
Market Performance
BTC opened June at approximately $73,684 and fell steadily throughout the month, breaking below $65,000 in the first week and continuing lower to a monthly low near $58,200. It closed June at approximately $58,696, down approximately 20.3% month on month — its weakest month of 2026. The sell-off was driven by sticky inflation and a hawkish Fed holding rates at 3.5–3.75%, an escalation in US–Iran tensions, and sustained spot ETF outflows.
ETH underperformed BTC, opening at approximately $2,009 and closing at approximately $1,576, down approximately 21.6% month on month, with a monthly low near $1,523. Forced unwinds during the early-June cascade — which triggered over $3bn in liquidations across derivatives markets between 4 and 6 June — hit ETH-denominated perpetuals particularly hard.
Across the broader market, the decline was indiscriminate, with roughly $2tn wiped from total crypto market value versus its cycle high and long-tail assets such as Solana falling more sharply than the majors.
Institutional Flows
ETF flows were the dominant driver of the drawdown. US Bitcoin spot ETFs recorded approximately $4.5bn of net outflows in June, the largest monthly withdrawal since the products launched in 2024, including a record 13-day outflow streak of about $4.4bn spanning 15 May to 3 June. Sentiment was further dented by Strategy’s first BTC sale in nearly four years. ETH spot ETFs also stayed under pressure, with roughly $880m of net outflows over the month before a tentative return of small inflows at month-end.
Market Structure & Dominance
Bitcoin dominance eased to approximately 55.8%, down from about 58.6% in May, as the broad decline compressed valuations and stablecoins’ share of total market value rose. Total digital asset market capitalisation closed June at approximately $2.28tn, a contraction of roughly 12% month on month from about $2.58tn.
DYDX Token Update
DYDX traded broadly in line with the major crypto drawdown in June. The token opened the month at approximately $0.194 and closed at approximately $0.159, delivering an 18.0% monthly decline. Over the same period, BTC returned -18.4%, ETH returned -19.9%, and HYPE returned -7.6%. DYDX reached its monthly high on 1 June and traded down to an intra-month low of approximately $0.116 on 11 June before partially recovering into month-end.
Trading activity on the dYdX perpetual venue was approximately $3.60B across 1.09M trades. Activity was highly concentrated in BTC-USD, which generated approximately $3.10B in notional volume across 659,114 trades, accounting for 86.1% of total platform volume. ETH-USD ranked second with approximately $412.6M across 140,975 trades, representing 11.5% of activity, while SOL-USD was third at approximately $44.5M across 39,554 trades, equivalent to 1.2% of platform volume.
Outside the top three pairs, activity was fragmented. XRP-USD generated approximately $6.0M across 5,332 trades, HYPE-USD recorded approximately $3.6M across 11,228 trades, and DOGE-USD recorded approximately $3.4M across 9,193 trades. The DYDX-USD market itself remained comparatively small, with approximately $128.0k in notional volume across 766 trades during the month.
Buyback Programme
Open-market activity acquired 1,368,218 DYDX at an average price of $0.14012, executed across 3,352 orders, for a total outlay of 191,711 USDC. Execution recorded adverse slippage of approximately $1,078.44, alongside $191.71 in exchange fees, indicating that aggregate open-market execution was worse than the benchmark price used for slippage measurement.
No OTC transactions were executed during June, with all DYDX buyback activity conducted through open-market purchases.
The programme also deployed 97,860 USDC into stablecoin swaps, converting into 97,818 USDT across 36 transactions. Stable-swap execution recorded a small adverse slippage of approximately $0.42 with no exchange fees recorded. Tokens were periodically transferred to the Treasury SubDAO buyback account, and all activity remains visible through the community-maintained buyback dashboard.
Staking Programme
No month-specific validator rotation in the current month. Validator performance continues to be monitored for uptime and reliability, with the objective unchanged: maintain strong uptime, preserve diversification across the active validator set, and keep DYDX productively deployed at all times.
Asset Allocation
As of 30 June 2026, the Treasury SubDAO’s total funds stood at approximately $20.55M. The portfolio currently consists of:
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88.10 M DYDX, valued at $15.84M (77.10%)
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$4.71M in stablecoins (22.90%)
Capital utilisation stood at 79.73%, with $16.38M allocated across DeFi positions and $4.17M held in wallet balances. Stablecoin DeFi exposure included approximately $502.3k in the kpk USDC Prime Core V2 vault on Morpho (Ethereum).
Yield Generation
DeFi strategies generated $4,806 during June, including $2,623 from the kpk USDC Prime Core V2 vault on Morpho and approximately $2,183 from the dYdX staking programme.
Next Steps for July
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Buyback programme: continue DYDX purchases across approved execution channels, subject to mandate and market conditions.
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Deployment of an RWA allocation as a decorrelated yield source, improving treasury diversification beyond DYDX staking and stablecoin lending while maintaining a conservative risk profile.
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Staking programme: continue monitoring validator performance across the active set, with reallocations implemented only as needed.