GMX — both the trading platform and the cryptocurrency have gained a lot of attention on Crypto Twitter due to it being a trading platform that actually shares 100% of its revenue with the token holders.
Should I buy GMX? 🤑
GMX has gained a lot of usage and attention on various cryptocurrency communities like Twitter because unlike other DEX tokens like Uniswap, GMX pays 30% of the overall DEX revenue to GMX token holders, while the remaining 70% is paid to liquidity providers(GLP holders).
Along with that, GMX’s tokenomic model seems to be far better than the tokenomic models of other DEXs, as GMX doesn’t just unnecessarily print and distribute a lot of GMX tokens to stakers. Instead, GMX token emissions are set very low compared to the likes of dYdX and Uniswap, and GMX emissions are vested for a year.
If you want to learn more about GMX, head over to their docs.
NOTE: Not financial advice. Do your own research!
Where to buy the GMX token 🧐
You can buy GMX on Bybit(a centralized exchange like Binance or Coinbase), or you can go with the permissionless-but-slightly-complicated method by briding your funds onto the Avalanche network.
If you prefer the easy way, head over to Bybit here; and buy GMX just like how you buy any coin token on your favorite exchange. But if you want to buy GMX using a DEX, continue reading. 👇
Adding the Avalanche Network on MetaMask 🦊
- Head over to Chainlist.org
- Look up “Avalanche” on the search bar
- Click on the Connect Wallet button, then click on the Add to MetaMask button
You now have the Avalanche Network on MetaMask. You can switch networks on MetaMask using the dropdown button at the top of the plugin popup.
Adding the GMX token to MetaMask
- Open this Snowtrace link to the GMX token
- On the right side of Profile Summary, click on the 3 dots, then click on Add Token to Web3 Wallet
- A MetaMask popup should appear. Click on Add Token
We now have added the GMX token to MetaMask.
Bridging funds to Avalanche 🛣️
Of course, to buy GMX on Avalanche, we’re going to have to move our funds to the Avalanche network first. Only follow this part if you don’t have funds on the Avalanche network yet.
There are 2 options for this.
1. Using a bridging platform
Platforms such as the Synapse Bridge can be used to bring your ETH/stablecoins to the Avalanche network, without the need of using a centralized exchange like Binance.
Take note though, that this can be complicated to some extent depending on how experienced you are with using smart contract platforms.
Synapse has a good guide on how to use their bridge here.
2. Using a centralized exchange
The far easier solution. You simply deposit your ETH/stablecoins to crypto exchanges like FTX and Binance and convert them to Avalanche(AVAX). Then, you withdraw the AVAX (like how you withdraw most cryptocurrencies), to your MetaMask Avalanche wallet.
Buying the GMX tokens 🫐
Now that you have your AVAX transferred to the Avalanche network using one of the two options mentioned, we can now finally buy GMX tokens!
- Head over to TraderJoe
- On the To field drop-down, type in and click on GMX
- Enter the amount of AVAX you wish to convert or the amount of GMX that you want to buy
- Allow TraderJoe to swap your AVAX, and accept the transaction using your MetaMask wallet. Wait for the transaction to confirm.
- Finally, swap the tokens
Once the transaction confirms (it should be confirmed in no time), you now have GMX tokens! You can now either hold the GMX tokens or stake them on GMX for some juicy yield!
Staking the GMX tokens 🤑
- Head over to GMX.io
- On the top bar, click on Earn
- Under the GMX section, click on Stake, then enter the amount you’re planning on staking
You now have staked your GMX tokens. Enjoy the yield!
Final Thoughts 🗒
Staking is great and all that, but always make sure your funds are secure. To achieve this, we always recommend using a nice hardware wallet like a Ledger.
