Binance Ends dYdX ERC20 Support, Raising Concerns Over Market Impact

Binance has announced it will no longer support dYdX token transactions on the Ethereum (ERC20) network, effective February 12, 2025, at 02:00 (UTC).

After this date, any dYdX deposits sent via the ERC20 network will not be credited to user accounts, leaving alternative networks as the only options for token transfers on Binance.

This update arrives as dYdX experiences a 2% price dip, raising concerns among some investors about liquidity and market stability.

Binance, however, frames the move as part of its ongoing efforts to streamline supported networks and enhance user experience.

While critics speculate about the potential impact on market depth and token accessibility, Binance advises users to review the official announcement for detailed guidance on how to adapt to the change.