What is GMX Exchange? Is GMX Good? | 2022 Review

What is GMX Exchange?

GMX Exchange is a decentralized perpetual exchange designed for Avalanche and Arbitrum traders. If you’re unfamiliar with how an exchange like GMX works, don’t worry, we’ll be going over all the details, starting with just what the heck a perpetual even is.

A perpetual is simply a Smart Contract with special instructions written for futures trading. One of these instructions is that the contract has no expiration date. Trading futures enables anyone to bet on a yet-to-be-discovered future price of an asset. This commonly falls into the degen side of the crypto space, due to the extremely high risk and high rewards offered by such a product. By using GMX Exchange, you can freely trade these perpetuals, as the exchange allows anyone to bet for or against Ethereum, Wrapped Bitcoin, Chainlink, and Uniswap. Users can deposit Ethereum, Wrapped Ethereum, Wrapped Bitcoin, Chainlink, Uniswap, USDC, USDT, DAI, and Frax Tokens to fund the account and begin leverage trading. This form of trading is difficult for even the most seasoned market makers. It’s highly recommended that you have a deep understanding of futures trading before attempting to long or short any cryptocurrency, ever. 

For those who don’t want to participate in the crypto casino. Other opportunities exist on GMX in the form of staking rewards.

By simply buying the GMX token and staking it on the platform, you can earn rewards in the form of collected fees.

These fees are collected from everyone who uses GMX Exchange.

Every time a futures contract is taken out, a small fee is paid to issue the contract along with the