Uniswap is one of the hottest hotspots in the cryptocurrency world lately. If you don't talk to someone in the circle and tell them about Uniswap, people will wonder if you are a cryptocurrency person or not. So what exactly is Uniswap? Today we'll give you a brief introduction.
What is Uniswap?
Uniswap is an ethereum-based protocol designed to facilitate automatic exchange transactions between ETH and ERC20 token digital assets, providing liquidity automatically on ethereum. uniswap is fully deployed on the chain, and any individual user who has installed decentralized wallet software can use this protocol. uniswap tries to use decentralized protocols to make digital assets The transaction process is completely disintermediated. uni is the Uniswap protocol token, while uni holders will immediately have: Uniswap governance, uni community vault, protocol fee switch, ethENS, Uniswap default list (tokens.uniswap.eth), and SOCKS liquidity tokens.
Compared to traditional centralized trading, using Uniswap omits a series of steps such as account registration, KYC authentication, and coin filling, making trading easier and faster. Moreover, Uniswap does not carry out fund escrow, so it is also more secure in terms of fund security.
UNI is the native token of Uniswap and is based on the ERC-20 format.
The main functions of the UNI token include
- Governance of the Uniswap protocol.
- access to a potential revenue share, a "fee switch" in the Uniswap governance contract that allows UNI token holders to receive a portion of the protocol fees if activated, a "fee switch" that sets a 180-day time lock to ensure that investors and liquidity providers (LPs) have six months to prepare for this new revenue sharing model, if it happens.
The total initial issue of UNI is 1 billion tokens, which will be distributed over a period of 4 years. The allocation mechanism is as follows.
60.00% will be allocated to Uniswap community members [600 million]. To incentivize users, 150 million of these will be airdropped to early adopters who provided liquidity to Uniswap, receiving 400 UNIs per person, worth thousands of dollars.
21.51% will be distributed to team members and future employees, to be unlocked over 4 years [approximately 215 million UNIs]
17.80% will be distributed to investors and unlocked over 4 years [178 million UNIs]
0.069% will be allocated to advisors and unlocked over 4 years [689,000 UNI]
The numbers are there and it is up to investors to judge carefully whether this is a bull market or a momentary speculation.