Summary
kpk is pleased to present the dYdX Treasury SubDAO’s November Community Update, which outlines recent developments, market conditions, DYDX metrics, and programme execution.
This update is accompanied by kpk’s November Treasury Report, which provides a detailed review of treasury performance and strategy.
Market Update
November extended the stress that began with October’s deleveraging, as crypto markets traded through a post-liquidation environment characterised by lower liquidity, reduced risk appetite, and persistent volatility.
Market Performance
BTC recorded one of its weakest months of 2025, declining ~17% and closing November around $90–91k, compared with ~$110k at the end of October.
This marks a cumulative ~32% peak-to-trough drawdown since early October.
ETH underperformed BTC, falling roughly 22% and ending the month just below $3,000. Markets continued to absorb the effects of the 10–11 October liquidation cascade, which forced aggressive unwinds of ETH perpetual positions and momentarily halted block production on the dYdX Chain.
Across majors, the total digital asset market capitalisation declined to ~$3.0–3.1T, down from October’s ~$3.6–3.7T.
Institutional Flows
ETF/ETP flows remained muted:
- BTC spot ETFs saw net outflows, reflecting diminished risk appetite.
- ETH products recorded small but consistent inflows.
- Market makers reported materially lower RFQ volumes, a continuation of the October reduction in directional appetite.
ETF flows acted as a drag rather than a catalyst for market recovery.
Market Structure & Dominance
Bitcoin dominance held broadly stable in the high-50% range, indicating November’s drawdown was systemic, not rotational. Higher-beta L1/L2 ecosystems experienced sharper declines as risk budgets contracted throughout the month.
Funding & Derivatives
Off-chain Funding (Binance Futures)
• BTC: 0.5% → 5%
• ETH: 1% → 6%
On-chain Funding (Hyperliquid)
• BTC: –2% → +15%
• ETH: –4% → +18%
DYDX Token Update
DYDX outperformed BTC, ETH, and HYPE on a relative basis throughout November. Although volatility remained elevated and the token experienced a mid-month drawdown in line with the broader market, DYDX still closed the month at the top of the normalised performance basket, ending above all three benchmarks.
Trading activity on the DYDX perpetual markets remained concentrated in the BTC-USD and ETH-USD pairs. BTC-USD led all markets with approximately $8.26B in notional volume across 1.40M trades, a significant increase from $3.16B and 618k trades in the prior month, reflecting a pronounced rotation of leverage and liquidity toward BTC. ETH-USD followed with approximately $4.21B in notional volume across 867k trades, down from $3.18B and 556k trades previously, but still representing a substantial share of total activity. SOL-USD remained the third-largest market, recording approximately $2.89B in notional volume across 983k trades, up from $660M and 219k trades in the prior month.
Buyback Programme — November Update
November marked a materially larger month for buyback execution (in comparison to October), combining both open-market purchases and an OTC transaction. This coincided with a structural change approved by governance (proposal #313), which increased the share of net protocol revenue allocated to DYDX buybacks from 25% to 75%, strengthening the long-term alignment between protocol activity and token demand.
Open-market activity acquired 1,253,977 DYDX at an average price of $0.27614, executed across 4,302 orders, for a total outlay of $346,268 USDC. In addition, the programme completed a OTC transaction with the dYdX Operations SubDAO, acquiring 2,000,000 DYDX at an average price of $0.28623 for $572,457 USDC. The trade was executed entirely on-chain, preserving transparency and avoiding market impact during a period of a thinner order book.
Tokens were periodically transferred to the Treasury SubDAO buyback account. All buyback activity remains visible through the community-maintained Buyback Dashboard.
Staking Programme
The dYdX Treasury SubDAO has completed its fourth periodic review of the Staking Programme. This cycle involved a comprehensive redistribution of stake across eligible validators in the active set, reflecting updated scoring criteria and operational requirements introduced following the October 10th incident. All resulting re-delegations have now been executed on-chain.
DYDX tokens under Treasury SubDAO management and staked as part of this cycle total 68.66M DYDX, composed of:
- 57.10M DYDX — Treasury SubDAO Staking Programme
- 6.00M DYDX — Operations SubDAO
- 5.56M DYDX — Buyback Address
The Treasury SubDAO remains committed to reviewing delegations at least quarterly, encouraging continuous improvement across the validator set. Additional interim adjustments may be made when required, particularly as the ecosystem incorporates lessons from the October 10th incident, prepares for ETP-related liquidity operations, and continues integrating new validator performance data.
Asset Allocation
As of 30 November, the Treasury SubDAO maintains the same overall composition reported last month, with updated DeFi strategy performance and liquidity movements reflected below.
The portfolio currently consists of:
- 85.49M DYDX (93.81%), ~12M of which is provisioned to seed dYdX ETP;
- 1.33M USDC (6.19%)
Yield Generation
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Staking Programme: 54.17k USDC generated by the Staking Programme – The lower value is a result of the new rewards distribution from proposal #313. (a reduction from 40% to 15%)
-
MegaVault: As of 30 November, MegaVault has generated approximately $4,000 in cumulative yield (~1.68% APY).
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Osmosis DYDX/USDC Liquidity: Initial deployments were made across two ranges aligned with September spot conditions:
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Range 1: 0.51–0.62 (~±10% around spot)
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Range 2: 0.45–0.68 (~±20% around spot)
Following the DYDX price decline in October–November, both ranges exited their active bands, resulting in an accumulated inventory of 674,704.68 DYDX.
To maintain active liquidity while managing exposure, half of the available inventory was redeployed across updated, lower ranges:
- Range 1 (±20% width): 0.199–0.299 (~60% of redeployed liquidity)
- Range 2 (±10% width): 0.224–0.274 (~40% of redeployed liquidity)
The new deployment of DYDX/USDC operational funds on Osmosis had –$29.70k change in the market value of DYDX.
- Marked-to-Market (“MTM”): Treasury SubDAO assets suffered from a monthly MTM loss of $5.9M due to a decrease in the DYDX token price.
Token Allocation %
Other Updates
Two Directors of the Treasury SubDAO will be replaced to reflect organisational changes within kpk and to support operational continuity.
Next Steps for December
- Buyback programme: continue DYDX purchases across CEX and OTC channels
- Finalise DYDX ETP seeding
- Facilitate cash settlement for service providers