2023 GMX Traders Analysis (Arbitrum)
an in-depth analysis of traders utilizing the GMX platform on Arbitrum in 2023.
What is GMX?
GMX is a decentralized spot and perpetual exchange on Arbitrum and Avalanche chains that support low swap fees and zero price impact trades. Trading is supported by a unique multi-asset pool that earns liquidity providers fees from market making, swap fees and leverage trading. Dynamic pricing is supported by Chainlink Oracles and an aggregate of prices from leading volume exchanges.
GMX Token:
GMX token is the GMX platform's utility and governance token, holding the token unlocks a variety of benefits and also Accrues 30% of the platform's generated fees.
![db_img](https://uploads.flipsidecrypto.com/product/images/6mtidFtFsk9L.png)
Dashboard Introduction & Methodology
Arbitrum is currently the top Ethereum Layer-2 project with the highest TVL among all other L2s. GMX protocol is the best overall DeFi protocol on Arbitrum and especially with the start of the new year and the recovery of the whole cryptocurrency market, this protocol is becoming more & more popular over time. on the occasion of this massive hype on Arbitrum & it’s best protocol, GMX, In this dashboard, I am going to analyze the users’ behavior on GMX since the start of the year 2023 mainly using Flipside’s arbitrum.core.fact_event_logs table.
Based on the GMX docs, The contract address for the GMX swap router is : 0xaBBc5F99639c9B6bCb58544ddf04EFA6802F4064.
Moreover, there are total 9 assets currently available on GMX:
- '0xff970a61a04b1ca14834a43f5de4533ebddb5cc8' | 'USDC'
- '0xfea7a6a0b346362bf88a9e4a88416b77a57d6c2a' | 'MIM'
- '0xf97f4df75117a78c1a5a0dbb814af92458539fb4' | 'LINK'
- '0x82af49447d8a07e3bd95bd0d56f35241523fbab1' | 'WETH'
- '0x2f2a2543b76a4166549f7aab2e75bef0aefc5b0f' | 'WBTC'
- '0xfa7f8980b0f1e64a2062791cc3b0871572f1f7f0' | 'UNI'
- '0xda10009cbd5d07dd0cecc66161fc93d7c9000da1' | 'DAI'
- '0x17fc002b466eec40dae837fc4be5c67993ddbd6f' | 'FRAX'
- '0xfd086bc7cd5c481dcc9c85ebe478a1c0b69fcbb9' | 'USDT'
GMX Vault contract address is 0x489ee077994B6658eAfA855C308275EAd8097C4A and GMX position manager contract address is 0xb87a436b93ffe9d75c5cfa7bacfff96430b09868. These 2 are used for liquidation fees on GMX protocol.
As like as many other platforms, there are 2 futures positions on GMX protocol: Increase Position (LONG) and Decrease Position (SHORT).
The contract address for liquidity-providing stuff (stake, unstake, reward distribution) is 0xa906f338cb21815cbc4bc87ace9e68c87ef8d8f1
Considering the above facts and using arbitrum.core.fact_event_logs (and fact_hourly_token_prices for USD prices), we are going to perform an in-depth analysis of traders utilizing the GMX platform on Arbitrum in the year 2023.
Since start of the year 2023, Total 85.6k swap transactions were made on GMX by 21,6k unique users with total volume of $115.1M and average USD volume of $1342.
Similar to the previous charts, we can also see slightly increasing number of new traders on GMX as time goes on which shows the increasing popularity of this protocol on Arbitrum.
On the left chart, we can see the growth rate of WETH/USDC and also USDC/WETH swap pairs are way more than other pairs over time.
WBTC/USDC is the 3rd popular swap pair in terms of growth rate.
Based on the left chart, the number of short positions (and also number of users who have opened short positions) during the year 2023 is more than long positioners.
Despite the bullish situation of the cryptocurrency market in the year 2023, we can see there are still more short positions than long ones.
According to the left chart, 0x9f72be3e712eb50fdbe9a2278e0ec73491dd9237 has executed the most number of leveraged positions on GMX.
The interesting thing is that all of his/her positions were LONG.
On the above charts, we can see USDC and also WETH are the most active assets for leveraged trading in GMX platform.
for Long Positioning, USDC is the most popular asset followed by WBTC. for Short Positioning, WETH is the most popular asset followed by USDC.
On the left, we can see total 52.33k stake transactions by 40.71k unique wallets were made on GMX since the start of the year 2023.
8727 users have also performed unstake transactions (14.607k TXs)
According to the left chart, 0x4780e046a55decc374499ba67e679287d9ba0a40 is the top LPer on GMX with the highest staked $GMX in this platform.
Average Swappers Stats
Overall Swap Stats
On the above data, you can see some average, median & maximum swaps stats per GMX swapper on this platform.
Moreover, we can see the average time difference between traders’ swapping on this protocol is almost 2.5 days which shows the high activity of this platform’s traders.
According to the above charts, the number of swaps and traders and also the volume & average volume of swaps on GMX protocol during the year 2023 is significantly increasing over time. Feb 17, 2023 was the day with the highest number of trades and also traders on this platform.
On the other hand, Feb 17, 2023 is the day with the highest volume & also the average volume of swaps on GMX.
According to the above charts, 0x63850f9dccfc839534d5dc69333403c90c10c6fd has by far performed the most number of swaps (5621) on GMX protocol in the year 2023 but the total swap volume of the wallet address 0x49b373d422bda4c6bfcdd5ec1e48a9a26fda2f8b is higher than all other swappers (13.51M USD).
the interesting this is despite the huge difference of 0x63850f9dccfc839534d5dc69333403c90c10c6fd with other swappers in number of swaps, this user is not event listed among the top 10 most worthy swappers on GMX.
Based on the above charts, USDC is the most popular swapped-in & also swapped-out asset in GMX in terms of the number & volume of swaps on this protocol. but in terms of the number of active swappers, WETH is the leading token.
Totally, as like as many other trading protocol,s USDC & WETH are the most popular tokens on GMX too followed by other tokens such as DAI, WBTC & USDT.
As we see on the left charts, WETH/USDC pair (and also after that, USDC/WETH pair) are by far the most popular pairs on the GMX platform in both terms of number and volume of actions.
WBTC/USDC & USDC/USDT are on the next ranks of the popular swap pairs on GMX.
On the above charts, we can see situation of different pairs on GMX swap platform over time. As we see, WETH/USDC is leading in almost all days of both charts and its dominance is even increasing as time goes on.
According to the left charts, most number of users on GMX have performed total swaps of $10 - $100 followed by traders with total volume of $100 - $1000 swap on this protocol.
On the other hand, we can see the almost half of 2023 GMX swappers have only performed 1 swap transaction on this protocol followed by users who have performed 2-5 swaps on GMX.
Leveraged (Futures) Trading
on the above charts, first of all, we can kinda see increasing activity of future trading on GMX protocol over time.
Moreover, in majority of days, Short positions are the leading position in GMX protocol by traders. But anyway, in some days such as Jan 15, 2023 / Jan 26, 2023 / Feb 17, 2023, we can see increasing share of LONG positions by GMX traders on this protocol.
Liquidity Providing
On the above left chart, we can see most number of GMX users (47.4%) are stakers (liquidity providers) followed by 28% of users who are performing leveraged trading and swappers are on the last rank.
We can also see more detailed crossover of GMX users on the right pie chart.
On the above charts, we can see an increasing share of Future Traders on GMX over time and on the other hand, the number of transactions and also users who are staking (liquidity providing) in this platform is decreasing over time.
Traders (Swappers / Leveraged Users) and Liquidity Providers (Stakers) Crossover
Summary & Conclusion
Based on the above analysis, we have realized that GMX protocol, as the most popular DeFi platform in Arbitrum (the most popular L2 project with the highest TVL among other projects) is well-growing over time and its growth in number of transactions, active users, new users and also the volume of different actions is satisfying.
USDC & WETH are the 2 most popular tokens and their swap pairs are also the most popular pair in GMX. But maybe GMX should add some other assets to it platforms to be able to better compete with other trading platforms such as dYdX.
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On the above charst, we can see the daily number and volume of stakes on GMX protocol over time. As we see, the number of stake actions has kinda decreased as time goes but in volume chart, we do not see any certain trend and there are volatiles of staking and unstaking with GMX in this protocol.
and on the above tables, you can see the most popular swap pairs of top GMX swappers. As we see, USDC/WETH is the most common pair among GMX traders.
![db_img](https://uploads.flipsidecrypto.com/product/images/I5iaFJhsEJy9.jpeg)