VIRTUAL and PENGU markets are now live for trading
GMX has launched perpetual swaps for PENGU/USD and VIRTUAL/USD on Arbitrum. Traders can now trade these assets on leverage, while liquidity providers can earn rewards by contributing to the GM pools.
GMX announces the launch of a PENGU/USD market for the recently launched token from Pudgy Penguins, as well as a market for VIRTUAL/USD from Virtuals Protocol.
Both perpetual swap markets are on Arbitrum and allow users to Long or Short with up to 50x leverage, while enjoying GMX’s streamlined, deposit-free onchain trading experience.
Exec Summary
GMX has created a new market on Arbitrum for PENGU/USD
GMX has also launched a market for VIRTUAL/USD
The two markets are synthetic perpetual swaps backed by BTC-USDC liquidity pools, offering users new LP opportunities
These GM pools have also been integrated into GLV [BTC-USDC], ensuring that more liquidity is allocated to the PENGU and VIRTUAL markets when demand grows
PENGU Market Overview
GMX’s advanced smart contract architecture enables various market structures, including asset-backed perpetual markets and synthetic perpetual swaps. The PENGU/USD market is a synthetic perp swap, allowing traders to take long or short positions with up to 50x leverage.
This market is supported by a GM liquidity pool containing BTC and USDC, facilitating seamless trading of the PENGU token. For more details on synthetic markets and their benefits for users, refer to the GMX documentation.
PENGU is the native token of the Pudgy Penguins ecosystem, with a total supply of 88.88 billion PENGU tokens, 26% of which were allocated to the ecosystem’s community.
VIRTUAL Market Overview
The VIRTUAL/USD market enables leverage trading of the VIRTUAL token, the native asset of the AI Agent platform Virtuals Protocol. Like PENGU/USD, this market operates as a synthetic perpetual swap and enables users to trade with up to 50x leverage.
GMX has integrated Chainlink Data Streams for its price data, a service that provides low-latency market data optimised for perpetual DEXs in a verifiable, decentralised way. GMX is the exclusive launch partner for Chainlink Data Streams.
Liquidity Provision & GLV Vaults
Both the PENGU and VIRTUAL markets are backed by BTC-USDC liquidity pools. All liquidity provision on GMX is community-driven, enabling users to provide liquidity for these markets and earn trading fees (for instructions, see below).
GMX utilises the GLV [BTC-USDC] vault to dynamically allocate additional liquidity to the PENGU/USD and VIRTUAL/USD pools. GLV Vaults hold multiple GM pool tokens and periodically rebalance their liquidity toward the high-demand pools, optimising capital efficiency for GLV liquidity providers.
Through this innovative liquidity structure, GMX enhances market efficiency and accessibility for traders and liquidity providers alike.
As a liquidity provider, this means you can:
Buy GM tokens to provide liquidity directly to just the PENGU or VIRTUAL pool, using BTC or USDC, and earn fees from that pool
Or purchase GLV [BTC-USDC] to provide liquidity across all synthetic GMX markets based on BTC-USDC liquidity pools, including both of these new markets.
How to Provide Liquidity to GLV or a GM Pool
Choose your desired liquidity pool in the drop-down menu under Buy GM or under ‘Pools’. Alternatively, select GLV to provide liquidity to GMX’s new auto-optimising liquidity vaults, which offer balanced exposure to an index of GM pools
Click the Buy button
Enter the amount you would like to supply to support trading on GMX and earn rewards with
Click the blue Buy button and confirm the token allowance and onchain transaction
As a liquidity provider in any of GMX’s innovative GM liquidity pools, you are:
exposed to price movements of the underlying asset(s)
subject to trader PnL, as long as the pool is not precisely 50:50 balanced between Longs and Shorts. Adaptive funding rates typically bring the pool back to balanced Open Interest, resulting in only a slight (and generally positive) effect on LPs from trader PnL in the long term.
earning fees from market-making and trading activity at the pool’s listed rate (estimates are based on the performance of the past seven days). These fees are auto-compounded into the pool, automatically increasing the value of your GM tokens.
There are no lock-up periods for providing liquidity on GMX; you can exit your GM or GLV position whenever you choose.
To compare the performance of GMX’s liquidity opportunities against other benchmark LP positions, refer to the following Dune Analytics Dashboards:
Join the GMX community:
Website: https://gmx.io/
Twitter: https://twitter.com/GMX_IO
Telegram: https://t.me/GMX_IO
Announcements: https://t.me/GMX_Announcements
Discord: https://discord.gg/H5PeQru3Aa
Github: https://github.com/gmx-io
Documentation: https://docs.gmx.io/