The next upgrade to dYdX Chain code is coming later this month! With a slew of backend improvements, this upgrade will set the foundation for our Fall release (stay tuned). Most important is the integration with Skip Protocol’s Market Map. Let’s dive into the details.
A Brief History of dYdX and Skip Connect
In the most recent Chain upgrade, dYdX Chain software integrated with Skip Connect (formerly Slinky)--software created by Skip Protocol. Skip Connect acts as a price oracle for dYdX Chain markets and allowed the Chain to expand to 800+ new potential markets including Solana assets.
Introducing the Market Map
Skip has since taken its work on Skip Connect one step further and created what they are calling the Market Map. The Market Map, which can be added to the Skip Connect deployment, allows for an operator to actively maintain and update market parameters to increase the number of potential new markets and ensure the safety of current markets.
Expanding the available markets will help bring the vision of Unlimited permissionless markets to life.
Implementing the Market Map
Adding the Market Map to a live deployment of dYdX Chain will require a governance vote by token holders. If the community decides to integrate the Market Map, the community will also vote to appoint an operator of the Market Map (Market Mapper).
Why does the Market Map need a Market Mapper?
The Market Map requires outside management of current and future pairs. The Market Mapper will constantly update liquidity, reference prices, and meta data of existing markets as well as preload and preconfigure new markets safely on the Chain in order for market listing to be permissionless and powered by users.
While the Market Mapper would be a centralized entity, they are voted upon by governance and can be removed at any time if the community sees fit. Market Mapper revenue share functionality has been created to compensate Market Mappers and can also be voted upon by governance.
We’re stoked to have such a vibrant community building integrations that make dYdX Chain software even better. Follow dYdX and Skip on Twitter to stay tuned for more information on the Market Map.