How to use Squid UI for cross-chain deposits to dYdX V4

What is Squid?

Squid is a single click cross-chain transaction builder, supporting cross chain swaps in under 20 seconds. Squid utilizes Axelar’s decentralized interoperability infrastructure, approved by Uniswap’s bridge provider assessment. Squid provides interoperability services via an API, SDK and front end developer tools to teams across 60+ chains, and has done over $200 million in volume since its launch in January 2023. See: https://dydx.exchange/blog/1-click-onboarding

How Squid works

Let’s say you have USDC on e.g. Arbitrum and you wish to deposit to DYDX via Squid. For any Cosmos chain, the following happens all in one click:

1. Squid routes and converts your source funds into axlUSDC

2. axlUSDC is sent to Osmosis via Axelar General Message Passing (GMP), where it is the canonical representation of USDC

3. Swapped to Noble USDC on Osmosis

4. Bridged from Noble USDC to dYdX Chain from Osmosis via the Noble chain.

Example: How to bridge using the Squid UI ( Arbitrum - dYdX)

1. Go to https://app.squidrouter.com/

2. In order to bridge some USDC from Arbitrum to DYDX v4 mainnet, first connect your source wallet (e.g. Metamask). You can swap any fund from any chain that is made available through Squid. Note that you will need to pay for gas fees. Squid might make an overestimate, but the remaining fee will be refunded to you in case you used less.

1. Switch the source chain network e.g. Arbitrum

1. Add Keplr as destination wallet, to select dYdX as destination and approve the dYdX and Osmosis connections in keplr. Note that you may need to approve Osmosis as well.

1. Fill in the amount to bridge. After estimations are fetched for the bridged amount, you will need to give permissions to spend this amount in your source wallet (Metamask).

1. (Optional) we can use GMP Express to receive funds faster ~20s (if available) and use arrival gas (not needed on dYdX). Note that you will need to pay more to use GMP Express, so only use when needed.

1. Now confirm in wallet

1. After the transaction is successfully submitted. This may take up to ~30min as the transaction also needs to be finalized on the source chain e.g. Arbitrum.

1. Check your transaction. When you click view, you will be redirected to Axelarscan (example), which shows your transaction. Here you can track and trace what is happening, which is handy in case you don’t see your funds arriving within the expected time.

2. If completed successful, you can check your Keplr wallet to confirm the balance has arrived.