Market makers offer trades through order book & make money on bid-ask spreads (supply-side fees).

dYdX is a non-custodial trading and derivatives protocol initially built on Ethereum and later expanded to their own blcokchain built on top of the Cosmos SDK. dYdX was founded by Antonio Juliano and launched in 2017.

DYDX tokenholders own and govern the protocol. dYdX Trading Inc. currently takes all of the total trading fees paid by traders (revenue). dYdX’s investors include a16z, Polychain, The Spartan Group, etc.

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dYdX

# dYdX Block time Methodology

## 1. Overview

The dYdX block time metric measures the average time in milliseconds between consecutive blocks produced on the dYdX blockchain, aggregated daily. This metric provides insights into blockchain performance and network efficiency by tracking how consistently the dYdX network produces new blocks. The calculation uses sequential block timestamp differences to determine individual block production times, then averages these values on a daily basis.

## 2. Data sources

The metric relies on the following raw data sources:
- **dYdX blockchain block data**: Native blockchain block headers containing timestamps, block heights, and proposer/validator information from the dYdX protocol infrastructure
- **Chain availability configuration**: Internal configuration data that determines which chains are considered active and should be included in metric calculations

## 3. Step-by-step calculation

### Component A: Block data extraction
- **Purpose**: Retrieves raw blockchain block information with timestamps and sequential numbering
- **Logic**: Extracts block timestamps as `block_timestamp` and block heights as `block_number` from dYdX blockchain block headers. Includes validator/proposer addresses for potential future use. Applies incremental processing filters to only process new or recently updated blocks for efficiency
- **Key fields**: `block_timestamp` (when block was produced), `block_number` (sequential block identifier), `validator` (block proposer address)

### Component B: Sequential timestamp preparation  
- **Purpose**: Pairs each block with its predecessor's timestamp to enable time difference calculations
- **Logic**: Uses window functions to add the previous block's timestamp to each row, ordered by block number in ascending sequence. This creates the necessary data structure for calculating time intervals between consecutive blocks
- **Key fields**: `block_timestamp` (current block time), `block_number` (current block identifier), `previous_timestamp` (preceding block's timestamp)

### Component C: Block time interval calculation
- **Purpose**: Calculates the actual time difference between consecutive blocks
- **Logic**: Computes millisecond differences between each block timestamp and its predecessor using timestamp arithmetic. Truncates block timestamps to daily boundaries for subsequent aggregation. Excludes the first block in the sequence since it has no predecessor
- **Key fields**: `timestamp` (daily boundary), `block_time` (milliseconds between consecutive blocks)

### Component D: Daily aggregation
- **Purpose**: Aggregates individual block times into daily averages with standardized metadata
- **Logic**: Groups block time intervals by daily boundaries and calculates the average block time for each day. Adds standardized classification fields including chain identifier set to 'dydx', market sector as 'blockchains_l1', business segment as 'blockchain', and null product identifier. Applies incremental processing filters to only aggregate recent data
- **Key fields**: `timestamp` (daily boundary), `block_time` (average milliseconds per block for the day), classification metadata fields

### Final aggregation
- **Combining components**: The daily aggregated block times are processed through standardized metric formatting that ensures consistent schema and data types across Token Terminal's metrics infrastructure
- **Currency conversion**: Not applicable for this time-based metric
- **Time aggregation**: Block times are averaged within daily boundaries, with each day containing the mean of all block production intervals occurring within that 24-hour period
- **Final calculation**: The metric represents the average number of milliseconds between consecutive blocks for each day, providing a daily summary of dYdX blockchain performance and block production consistency. Results are filtered to include only data from chains marked as available in the configuration.

*This methodology was automatically generated by Token Terminal's methodology analyzer.*

avg(block_timestamp - previous_block_timestamp)

dYdXDYDX

Block time

Block time

Competitive landscape

Chain breakdown