The rise of DeFi exchange Uniswap has been making heads turn in the decentralized market. UNI token traded at $34.00 with a daily trading volume of $1.5 billion. UNI Price is up 45.7% for the week.
Uniswaps CEO Hayden Adams took to Twitter about the launch of its upgraded version 3 later this year. Uniswap’s V3 Upgrade has pushed Uniswap in making its place in the top 10 Crypto list. UNI price has surged over 600% in 2021.
“Uniswap V1 proved AMMs can compete with traditional exchanges; 2020: Uniswap V2 will prove AMMs can do things traditional exchanges cannot; 2021: Uniswap V3 will face slippage and capital efficiency head on to prove AMMs can outcompete traditional exchanges on all fronts”.
The industry’s DEX currently stands a total value of over $3.5 billion on version 2 but is suffering from fees and slippage numbers higher than most users want.
The New V3 upgrade hints at solving slippage and efficiency issues!
There is still no official update on the upgrade but it would spark many Ehtereum based Dapps to find higher potential and lower gas fees. Consequently, the industry expects Uniswap to include several new liquidity mining pools in its new protocol.
Through the London hard fork, the developers will release several improvements. One of them being EIP 1559. Ethereum’s improvement proposal EIP1559 has brought a positive impact on UNI users.
They were forced to move to other DEX protocols due to rising gas fees and overly expensive transactions, and transactions can take hours to process. This proposal has gained some highest support as it gives ease to gas fee worries.
Through EIP-1559, the existing “auction system” for fees will be restored at a standard rate. Known as “BASE FEE’, which will remain the same for everyone.
Traders and analysts have already started to expect the price to read $50 by the end of the year.