Odaily News: The dYdX Foundation has published an article discussing the future of DYDX. The dYdX ecosystem is nearing the potential mainnet release of the open-source software dYdX v4. dYdX Chain will be a PoS blockchain network that requires L1 protocol tokens to be staked by validators to secure the chain and enable L1 token holders to govern the network.



The dYdX community may choose to use DYDX (the governance token of dYdX v3) as the L1 token for dYdX Chain (if deployed on the mainnet). If this choice becomes a reality, as DYDX is an ERC-20 token based on Ethereum, a migration of DYDX tokens from Ethereum to dYdX Chain would be needed.



Ultimately, these matters will be discussed by the dYdX community and decided through dYdX governance:

1. Whether DYDX should become the L1 protocol token for dYdX Chain;

2. Whether wethDYDX should have the same governance and utility functions as DYDX on dYdX v3;

3. If the dYdX community decides that DYDX should be the L1 protocol token for dYdX Chain, how to organize and execute any required token migration and/or other necessary operations.