Research Summary
The report discusses HMX, a platform offering up to 1000x leverage on Crypto, Forex, and Commodities. It highlights HMX’s unique features, low fees, and the opportunity for users to become market makers. The report also provides an update on HMX’s performance metrics and the benefits of staking $HMX.
Key Takeaways
HMX’s Unique Features and Offerings
- High Leverage and Low Fees: HMX offers up to 1000x leverage on Crypto, Forex, and Commodities. It also provides low fees comparable to Centralized Exchanges (CEXs), with rates as low as 0.01% for Forex, 0.02% for Bitcoin and Ethereum, and 0.03% for other cryptos and commodities.
- Additional Features: HMX sets itself apart with features like subaccount support, instantaneous execution, one-click trading, and on-chart trading. These features offer a user experience similar to CEXs while retaining the benefits of decentralization.
Opportunity to Become Market Makers
- Liquidity Provision: Users can become market makers at HMX by depositing assets into the HLP vault. The liquidity in the vault serves as the market-making liquidity for traders at HMX.
- Yield Earning: The HLP vault is built on top of GMX’s GM token, allowing depositors to earn yields from both GMX and HMX fees. This maximizes passive real yields for the same liquidity used in market-making for both platforms.
Increased Collateral Factor
- Enhanced Buying Power: The collateral factor for Bitcoin and Ethereum has been increased to 0.90. This change allows users’ Bitcoin and Ethereum collateral to provide more buying power, enabling them to open larger positions.
HMX Performance Metrics
- Trading Volume and Total Value Locked (TVL): HMX has achieved approximately $12.1 billion in total trading volume just four weeks after hitting the $10 billion milestone. It also has around $28.5 million in TVL.
- User Base and Trades: HMX has approximately 5,000 unique users and has supported over 100,000 trades.
- Revenue Distribution: HMX has distributed over $3 million of revenue to its users.
Benefits of Staking $HMX
- Discounted Fees: Users can stake $HMX to get even cheaper fees. This is one of the multiple upcoming utilities for $HMX.
Actionable Insights
- Explore HMX’s Unique Features: Traders and investors may want to explore HMX’s unique features and offerings, including its high leverage, low fees, and additional features that enhance the user experience.
- Consider the Opportunity to Become Market Makers: Users may want to consider the opportunity to become market makers at HMX, which allows them to earn yields from both GMX and HMX fees.
- Understand the Implications of the Increased Collateral Factor: Users should understand the implications of the increased collateral factor for Bitcoin and Ethereum, which can provide them with more buying power.
- Review HMX’s Performance Metrics: Traders and investors should review HMX’s performance metrics, including its trading volume, TVL, user base, trades, and revenue distribution.
- Consider the Benefits of Staking $HMX: Users may want to consider the benefits of staking $HMX, which can provide them with even cheaper fees.
