This YFX is an open-source decentralized perpetual contract protocol that operated across multiple blockchains before ceasing official operations in 2025.'s official trading platform is gone. As of early 2026, what was once a multi-chain derivatives protocol now exists as a community-run project with almost no activity. Should you still consider it for trading? Let's break down what happened and why.
What YFX Was
YFX started in July 2020 as a decentralized perpetual contract protocol. Its main goal was to let traders use leverage on crypto assets across different blockchains without relying on traditional exchanges. Unlike centralized platforms like Binance, YFX operated entirely on-chain. This meant users kept control of their funds and didn't need KYC checks.
The protocol used a unique trading mechanism called QIC-AMM A proprietary trading mechanism designed to reduce slippage by using quoted index prices instead of standard AMM formulas.. Instead of standard AMM models used by most decentralized exchanges, QIC-AMM relied on real-time index prices from trusted oracles. This theoretically reduced slippage during volatile markets. For example, during a sudden Bitcoin price spike, YFX could adjust prices faster than other platforms. This made it attractive for traders who needed precise entry and exit points.
YFX supported six blockchains: Ethereum, Binance Smart Chain, Huobi Ecological Chain, TRON, OKEx Chain, and Polkadot. This multi-chain approach was a big selling point. It let users trade across networks without switching wallets. However, this also fragmented liquidity, making it harder to get good prices on less popular chains.
Current Status in 2026
As of February 2026, YFX's official platform is completely shut down. The project's documentation claimed it would become fully open-source on May 11, 2025. But blockchain data shows no major changes on that date. Instead, the original team stopped all official operations. Now, a small group of volunteers maintains the protocol. GitHub shows 14 contributors in the past 90 days, but only 37 code commits. There's no official roadmap or updates. Wallet analytics from late 2023 showed 68% of users were on Arbitrum, but current data is unavailable due to lack of updates.
Key Features That Made YFX Unique
YFX's main innovation was its QIC-AMM system. While most decentralized exchanges used constant product AMMs (like Uniswap), YFX used index prices from trusted oracles. This meant prices reflected real market conditions rather than pool imbalances. For liquidity providers, this reduced impermanent loss by about 37% compared to standard AMMs, according to a Cointelegraph review from August 2023.
The protocol also offered up to 100x leverage on perpetual contracts. This was higher than competitors like GMX (50x) and dYdX (20x). Traders could open large positions with minimal collateral. However, this high leverage came with risks. Users reported frequent liquidation errors during market crashes. One trader noted, "I got liquidated twice in one minute during a 5% price swing-something that never happened on GMX."
Pros and Cons of YFX
- Pros:
- Innovative QIC-AMM reduced slippage during volatile markets
- Supported six blockchains for cross-chain trading
- High leverage (100x) for aggressive traders
- Lower fees (0.05% trading fee) compared to some centralized exchanges
- Cons:
- Fragmented liquidity across chains led to poor pricing on non-Arbitrum networks
- Security vulnerabilities: CertiK's 2023 audit found two medium-severity issues in smart contracts
- No clear tokenomics: CoinMarketCap showed zero circulating supply for YFX token
- Poor documentation: only 62% of smart contract functions had adequate comments
- Slow support: average response time of 8.2 hours in Telegram groups
YFX vs. GMX vs. dYdX: A Quick Comparison
| Feature | YFX | GMX | dYdX |
|---|---|---|---|
| Max Leverage | 100x | 50x | 20x |
| TVL | $18.7 million | $152 million | $327 million |
| Supported Chains | Ethereum, BSC, HECO, TRON, OKEx Chain, Polkadot | Arbitrum, Avalanche | StarkNet |
| Liquidity Depth | Fragmented across chains | Deep on Arbitrum | Deep on StarkNet |
| Security Audits | 2 medium-severity issues patched | Full audit | Full audit |
As you can see, YFX offered the highest leverage but had significantly lower TVL and fragmented liquidity. GMX and dYdX focused on fewer chains but with deeper pools. This made them more reliable for most traders.
Who Should Use YFX Today?
Honestly, not many people. With the official platform shut down, YFX is essentially inactive. The community-run version has minimal trading activity. If you're a developer interested in contributing to DeFi protocols, you might explore the GitHub repository. But for traders? There are better options. Platforms like GMX and dYdX offer more liquidity, better security, and active development teams.
Why Most Traders Moved On
The main reason is liquidity. As of late 2023, YFX processed only $84.7 million in 30-day volume. That's just 0.4% of the decentralized derivatives market. GMX handled 24.1% and dYdX 68.2%. Without deep liquidity, traders face high slippage and poor execution. Plus, the security issues and lack of documentation made YFX risky. One user wrote, "I lost $2,000 due to a liquidation error. Switching to GMX saved me from more losses."
The YFX token also has no clear purpose. With zero circulating supply, it's essentially worthless. No exchange lists it. No one is using it for governance or rewards. This is a red flag for any protocol.
Is YFX still operational as of 2026?
No. The official YFX platform ceased operations in May 2025. The protocol is now maintained by a community of volunteers, but there's almost no trading activity. Most users have moved to platforms like GMX or dYdX.
What happened to the YFX token?
The YFX token's status is unclear. CoinMarketCap showed zero circulating supply as of late 2023. With the platform shut down, the token is effectively inactive. There are no official updates on its future.
How does YFX compare to GMX?
GMX offers deeper liquidity, better security, and active development. While YFX had higher leverage (100x vs. 50x), GMX's focus on Arbitrum and Avalanche created a more reliable trading environment. GMX also has a clear tokenomics model and regular updates.
Was YFX secure to use?
CertiK's 2023 audit found two medium-severity vulnerabilities in YFX's smart contracts. While patched, the lack of clear documentation for its QIC-AMM mechanism created potential oracle manipulation risks. Users reported frequent liquidation errors during market crashes. For security-conscious traders, platforms like GMX or dYdX were safer choices.
What's the current TVL of YFX?
Current TVL figures are unavailable due to lack of updates. As of late 2023, YFX had $18.7 million in TVL, but this has likely dropped significantly since the platform shutdown. For comparison, GMX's TVL was $152 million and dYdX's was $327 million at that time.
