Swiss asset manager 21Shares, Europe's largest crypto ETP issuer with 48 products, has launched a physically-backed exchange-traded product (ETP) tied to dYdX's native token DYDX. The product began trading this week on Euronext Paris and Amsterdam under ticker symbol DYDX, with support from dYdX Treasury subDAO through operator kpk.
The ETP provides regulated access to dYdX, one of the largest decentralized derivatives protocols that has processed over $1.4 trillion in cumulative trading volume across 230 perpetual markets. Mandy Chiu, Head of Financial Product Development at 21Shares, stated that DYDX was chosen because it "adds a distinctive dimension" with its focus on decentralized derivatives trading, particularly perpetual futures historically dominated by centralized exchanges.
Market maker Flow Traders will ensure liquidity and efficient pricing, with daily creations and redemptions to maintain alignment with net asset value. Shortly after launch, 21Shares will introduce DYDX staking with auto-compounding features, generating rewards that auto-compound into DYDX token buybacks.
Charles d'Haussy, CEO of the dYdX Foundation, emphasized that the product "empowers institutions to harness DYDX's pioneering technology which redefines the $28 trillion crypto derivatives markets" while the chain remains "fully sovereign and decentralized." The launch comes amid growing institutional interest in crypto derivatives, with Cboe planning to launch continuous Bitcoin and Ether futures and Kraken expanding its derivatives offerings.