- The new dYdX ETP from 21Shares brings exposure to decentralized derivatives in Europe.
- dYdX has processed $1.5T in trades, with 15K weekly users and strong platform growth.
- Investors gain access to a fully backed product with $11B in assets under 21Shares.
European investors will soon gain direct exposure to decentralized derivatives as 21Shares launches the dYdX ETP on Euronext Paris and Amsterdam. The product, trading under the ticker DYDX, is physically backed and charges a 2.5% management fee.
Expanding Access to dYdX Through Regulated Channels
The new 21Shares dYdX ETP follows the performance of the DYDX token and provides investors with a regulated portfolio of one of the busiest decentralized derivatives platforms. dYdX is credited with pioneering perpetual futures contracts, financial products that enable investors to have speculative exposure to the price of cryptocurrency that have no ownership or expiry dates.
The platform supports around 15,000 weekly active traders and recorded $7.7 billion in trading volume in July. Since its inception, the protocol has handled more than $1.5 trillion in cumulative trades. Mandy Chiu, Head of Financial Product Development at 21Shares, noted, “Leveraging its early-mover advantage, the dYdX platform has impressively facilitated over $1.5 trillion in cumulative trading volume, representing more than 20% of the $7.2 trillion transacted across decentralized perpetuals to date.”
dYdX operates its own Layer-1 blockchain, the dYdX Chain, and continues to expand services. The project has distributed over $50 million in USDC to its community, using recurring cash flows rather than token inflation or indirect buybacks. This model is designed to deliver transparent and sustainable value.
Growing Role of DeFi Products in Europe
The release of the dYdX ETP coincides with growing European interest in decentralized finance. The product allows investors to gain regulated exposure to the DYDX token through traditional brokerage accounts and Euronext listings.
The 21Shares family of funds has grown into 48 physically backed Europe-based ETPs. They cumulatively amount to $11 billion in assets, which makes 21Shares one of the largest issuers of crypto ETPs globally.
Related: 21Shares Taps Societe Generale to Boost EU Crypto ETP Liquidity
Regulation and Investor Confidence
The dYdX Foundation has released a whitepaper aligned with the EU’s MiCA regulation. This step clarifies token features and strengthens compliance within European markets. For investors, it reduces concerns around regulatory uncertainty.
The move by 21Shares to launch DYDX at this time can be analyzed as the continued strategy of the company to offer innovative products in secure structures. The company was also one of the early to issue and trade crypto ETPs across Europe, and its move to decentralized derivatives demonstrates a progression of the classic spot products.
This raises a pivotal question: could regulated exposure to DYDX tokens help bring decentralized finance into mainstream European investment portfolios?
By combining a physically backed structure with an Europe-based listing, the DYDX ETP creates a balance between innovation and oversight. Investors seeking growth in decentralized finance may find regulated exposure through DYDX an accessible and practical option.
