dYdX Bridge Closure Locks $25M in ethDYDX, Cuts DYDX Supply
Decentralized exchange dYdX permanently closed its ethDYDX-to-DYDX migration bridge on June 13, 2025, leaving about 45,000 holders unable to convert more than $25 million worth of tokens. The shutdown, approved by a December 2024 governance vote, ended a six-month transition for migrating ERC-20 tokens. Any attempt to use the old bridge now results in permanent locking of ethDYDX. As a result, over 41.6 million ethDYDX tokens were excluded from total and circulating supply, reducing DYDX’s total supply to 958.3 million and circulating supply to 750.2 million. A governance proposal is now circulating to reopen the migration window, while community groups lobby for a solution to unlock stranded assets.
Bullish
The permanent closure of the ethDYDX bridge removes over $25 million worth of tokens from circulation, cutting DYDX’s total and circulating supply. This supply reduction can alleviate selling pressure and support price appreciation in the medium term. Although holders face short-term frustration and potential liquidity constraints, the active governance proposal to reopen migration demonstrates strong community engagement, which can bolster confidence. Historically, similar supply cuts—such as token burns or migration completions—have led to renewed buying interest among traders, suggesting a bullish bias going forward.