Following the final closure of the cross-chain bridge for ethDYDX tokens on the decentralized exchange dYdX, over 41.6 million tokens, equivalent to about $27 million, remain locked in a smart contract. This issue has affected approximately 45,000 investors who were unable to migrate their assets to the new chain.
This is reported by Finway
Reasons for Closure and Consequences for Token Holders
The migration bridge, which allowed the exchange of ethDYDX from the Ethereum network to native DYDX on the dYdX Chain, was shut down on June 13, 2025. This decision was the result of a DAO community vote in December 2024, when it was decided to discontinue support for the wethDYDX smart contract. Participants were given six months to transition; however, after this period, a portion of the tokens remained “frozen” in the contract.
In June 2025, another vote took place that ultimately ceased the operation of the protocol, leaving no opportunity for further asset migration. As a result, investors lost access to their tokens, and the situation sparked widespread concern among market participants.
Community Position and Calls to dYdX Foundation
Members of the cryptocurrency community insist that the dYdX Foundation should initiate the restoration of the bridge and ensure a full migration of tokens. According to crypto influencer Andrii Sobolev, the project team is currently evading responsibility, citing decisions made by the community through the DAO, despite having all the tools to resolve the issue.
“Approximately $25 million is the official figure declared by the Ethereum blockchain. […] 41.6 million ethDYDX tokens are locked in the bridges, which constitutes 4.165% of the total supply. This is about $27 million at the current equivalent,” Sobolev noted in a conversation with Incrypted.
Sobolev also emphasized that large DYDX holders are interested in reducing the circulation of tokens among retail users to lower the supply in the market. The community believes that any independent initiative to restore migration will be rejected by validators representing the interests of large players.
Some community members are already preparing appeals to regulatory authorities, including the SEC (U.S. Securities and Exchange Commission) and ESMA (European Securities and Markets Authority), believing that locking assets without criminal intent is unacceptable.
“No project or DAO has the right to block users’ funds unless they were obtained through illegal means. […] Some participants are already filing collective complaints with the SEC [U.S. Securities and Exchange Commission] and ESMA [European Securities and Markets Authority].”
Currently, there has been no official response from the dYdX Foundation team regarding the potential restoration of the migration bridge. Earlier, in March 2025, dYdX founder and CEO Antonio Juliano announced an update to the project’s development roadmap, but the issue of locked tokens remains unresolved.