A quick update from the dYdX Grants team.
dYdX Grants completed an over-the-counter trade converting 235,000 DYDX to 947,898 USDC. As previously disclosed, dYdX Grants cannot pay US-based grantees in DYDX; the partial conversion to USDC gets us around that. Below, we share some details around the executed trade:
Order Type: Time Weighted Average Price (”TWAP”)
Order Period: 04/29/2022 04:25 PM ET - 04/30/2022 04:25 PM ET (24 hours)
Volume: 235,000 DYDX
Proceeds: 947,898.34 USDC
The team used a TWAP strategy for the following reasons:
The USDC will be paid out in the coming days to all our U.S. based grantees due for payment. As we continue to issue grants to U.S.-based teams, the team will continue to execute OTC trades to buy USDC for payment obligations.
Publicly disclosing orders to sell an illiquid token pre-trade can be exploited by market participants, and would result in unfavorable outcomes for the community. As such, we will always opt for post-execution disclosure to prevent any front-running of the orders.
We are excited to move forward with payments!