GMX

GMX is a decentralized spot and perpetual exchange on Arbitrum, Avalanche and MegaETH. Trading is powered by GM and GLV liquidity pools, and pricing comes from Chainlink Data Stream oracles so that liquidations occur at aggregated market prices rather than on momentary spread spikes. A GMX Account lets traders use the exchange from other supported chains. [1]

A GM pool consists of an index price feed, a long token and a short token, and may be backed by one or several tokens. A GLV pool aggregates multiple GM markets and rebalances liquidity between them based on utilization. Liquidity providers earn the majority of fees from trading, liquidations, borrowing and swaps simply by holding pool tokens, and they are the counterparty to traders: trader profit comes out of the pool’s value. [2]

Positions use linear, USD-based profit and loss with flexible collateral, and collateral may come from a connected wallet or a GMX Account balance. Fees differ between crypto markets and traditional-finance markets such as commodities and indices, and for those markets liquidation parameters can change between on-hours and off-hours sessions. [3]