Over the weekend, the decentralized finance (DeFi) exchange GMX outperformed the Ethereum blockchain in daily fees, earning over $5 million within 24 hours.
This marks a significant milestone for GMX, which has accrued a total of $120 million in fees since September 2021.
The fees are shared between GMX’s two tokens, gmx and glp. The former, which is a utility and governance token, accrues 30% of the platform’s fees, while the latter, a liquidity provider token, accrues 70%.
Despite Ethereum generating $4.7 million in fees during the same 24-hour period, the fees do not include the ones generated by applications on Ethereum.
GMX’s popularity can be attributed to its low slippage, cheap fees, and protection against unwanted liquidations. The exchange allows users to trade futures on its platform, with leverage up to 50 times the initial collateral.
Although Ethereum reclaimed the top spot on Monday, GMX’s ability to generate significant fees signals its fundamental strength, especially for its native tokens.
