From Chat to Crypto: dYdX Acquires Pocket Protector for Social Trading Boost
- Keyword Financial
- Jul 18
- 3 min read
Introduction
dYdX, a leading decentralized derivatives exchange, has acquired Pocket Protector, a fast-growing Telegram-native trading app, in a move aimed at expanding its social trading capabilities and accelerating product growth. Pocket Protector, founded in 2024, quickly gained traction with over 50,000 users and more than $1 billion in annualized trading volume by allowing users to trade directly within Telegram group chats. The acquisition, completed with a mix of cash and dYdX tokens, brings Pocket Protector’s co-founders—Eddie Zhang and Kaiser Kinbote—into key leadership roles at dYdX, along with their engineering team, to help drive the exchange’s next phase of growth and innovation.
This strategic move marks dYdX’s first external acquisition and is seen as a response to increasing competition in the decentralized finance (DeFi) space. By integrating Pocket Protector’s technology, especially its popular Telegram trading bot, dYdX aims to enhance its user experience and attract new traders through social and community-driven features. The leadership at dYdX believes that the Pocket Protector team’s rapid execution and deep understanding of user needs will help the exchange deliver a more engaging and accessible trading platform, positioning dYdX to compete more effectively with both decentralized and centralized rivals.
Looking ahead, dYdX plans to integrate Pocket Protector’s best ideas and infrastructure, starting with bringing Telegram bot functionality to its platform. The acquisition is expected to boost dYdX’s market share, increase trading volume, and foster a more vibrant trading community. Industry analysts suggest that this move could set a new standard for social trading in DeFi, making decentralized exchanges more appealing and user-friendly for a broader audience.
