Merkle Trade Announces Wind‑Down of Its Aptos Perpetual Futures Platform
February 3, 2026 – The team behind Merkle Trade, the leading perpetual‑futures exchange on the Aptos blockchain, said on X that it will begin shutting down operations over the next two weeks. The move comes as Aptos’ total value locked (TVL) continues to retreat and follows a seed‑round fundraising effort that closed less than two years ago.
What happened?
- Wind‑down timeline – New positions on the platform will be blocked on February 6. All remaining open positions will be automatically closed on February 10. The native MKL token will become redeemable without fees on February 12, and any staked MKL can be withdrawn thereafter.
- Communication – Merkle Trade’s announcement cited “careful consideration” but did not detail the specific catalysts behind the decision. The statement concluded with gratitude toward the community and pride in the platform’s achievements.
- Trading history – Since its launch in late 2023, Merkle Trade processed roughly $30 billion in cumulative trading volume, making it the most active perp DEX on Aptos by a wide margin.
Market reaction
The MKL token surged about 11 % in the 24 hours after the news, although it remains roughly 90 % below its peak price recorded in December 2024. The price rally appears driven by short‑term buying pressure from traders seeking to capture the fee‑free redemption window rather than a fundamental turnaround.
Background on Merkle Trade
Merkle Trade distinguished itself by offering non‑custodial derivatives trading alongside gamified elements such as trading missions and loot‑box rewards. That model helped the project secure a $2.1 million seed round in April 2024, led by Hashed and Arrington Capital, with participation from Aptos Labs, Morningstar Ventures, Amber Group and others.
At its height in May 2024, the protocol’s total value locked topped $7.4 million. DefiLlama data shows that TVL has since collapsed to about $3.5 million – a drop of more than 50 % – leaving Merkle Trade the 17th‑largest Aptos protocol by TVL at the time of writing. Despite the decline, the exchange still dominates the Aptos perpetual market, accounting for roughly $12.4 million of the $13.7 million daily perp volume recorded across the four Aptos‑based perpetual DEXes.
The broader Aptos context
Merkle Trade’s contraction mirrors a larger slowdown in the Aptos ecosystem:
- TVL trend – Aptos’ DeFi TVL has fallen from a peak of over $1.2 billion in December 2024 to approximately $332 million today, a reduction of more than 70 %. The network now ranks 16th among blockchains by DeFi TVL.
- App revenue – While weekly DApp revenue on Aptos rose in 2025, the absolute numbers remain modest. In the most recent 24‑hour snapshot, PancakeSwap generated $44 k, with Merkle Trade contributing $29 k. By contrast, the top four chains (Solana, Hyperliquid L1, Ethereum and EdgeX) each posted daily revenues exceeding $1 million.
- Perp DEX landscape – The perpetual‑futures sector as a whole experienced explosive growth in 2025, with 24‑hour volumes on some L1s surpassing those of major centralized exchanges. Platforms such as Hyperliquid, Lighter and Aster are now the primary volume drivers, pushing the market into a new competitive era.
Possible drivers of the shutdown
Although Merkle Trade’s founders did not name explicit reasons, several factors likely played a role:
- Eroding liquidity – The halving of TVL on Aptos means fewer funds are available to sustain deep order books, making it harder for a derivatives platform to attract and retain traders.
- Competitive pressure – Emerging perp DEXes on higher‑throughput chains are offering lower fees and richer liquidity, pulling volume away from Aptos‑based alternatives.
- Funding environment – After the 2024 seed round, the broader crypto market has faced a prolonged downturn, limiting follow‑on capital for niche infrastructure projects.
- Regulatory uncertainty – Perpetual futures remain a regulatory gray area in many jurisdictions, adding operational risk for platforms that lack a robust compliance framework.
Key takeaways
- Users – Traders have a short window to close positions and redeem MKL tokens without penalty. Those with outstanding positions after February 10 will see them liquidated automatically.
- Token holders – The fee‑free redemption period may temporarily buoy MKL’s price, but the token’s long‑term outlook is uncertain given the platform’s closure.
- Aptos ecosystem – The wind‑down underscores the challenges faced by DeFi projects on a chain that has struggled to maintain TVL and developer interest.
- Industry signal – Even well‑capitalized, high‑volume platforms can become unsustainable when macro‑level liquidity dries up. The episode serves as a cautionary note for other niche DEXes operating on emerging L1s.
Merkle Trade’s shutdown marks the end of a brief but high‑visibility chapter in Aptos’ derivatives scene. While the platform’s volume numbers were impressive, the broader contraction of capital on the network appears to have outpaced its ability to adapt, prompting the decision to wind down operations. The final weeks will be critical for users looking to exit positions and reclaim assets, and the episode will likely influence how future DeFi projects approach liquidity management on smaller blockchains.
Source: https://thedefiant.io/news/defi/aptos-based-perp-dex-merkle-trade-shutters-business
