UNISWAP OVERVIEW
Let’s begin by making some clear distinctions between the different areas of uniswap
Uniswap labs: The company that developed the uniswap protocol, along with the web interface.
The uniswap protocol: A suit persistent, non-upgradable smart contract that together creates an automated market maker, a protocol that facilitates peer-to-peer market making & supply of ERC- tokens
The uniswap interface: A web interface that allows for easy interaction with the uni swap protocol
Uniswap governance: A governance system for governing the Uniswap protocol, enabled by the UNI token.
Basically; the Uniswap protocol is a peer-to-peer system designed for exchanging cryptocurrency (ERC 20 tokens) on the Ethereum blockchain
Versions of the protocol
V1 & V2 are open sources & licensed under GPL
V3 is open source with slight modification
Each version of The uniswap is designed to function permanently with 100% uptime, provided the continued existence of the Ethereum blockchain
The Uniswap protocol has integration with other protocols such as Blink trade, flipside, MakerDAO, Reflexer, Compound, shapeshift, open sea, etc.
It also has integration with other chains aside from Ethereum for scalability and other functions, a few of them are
Polygon, Optimism, Arbitrum,Celo, and BNB Chain.
TEAM & INVESTORS
Founder - Hayden Adams
Another team (Twitter handle and their position)
@dcwj - UX designer
@ack_129 - product designer
@vig_xyz - engr
@AustinAdams10 - Reseaty
@Scott_eth - Head of NFT
@Xin_wan - Research
@Stevibiet - CX
@lclamont415 - Strategy
@hensha256 - protocol builder
Investors; Paradigm, a16z, USV, etc.
Community:
Twitter: 992k followers with over 5k daily active engagers
Discord: 100k members, with over 9k active community members
FINANCIAL METRICS
Fully diluted market cap - $6.28b
Total value locked - $3.77b
Fees (30d) - $64.40m
Active developers - 37.93
Revenue share; the revenue is shared between
- the supply side: the fees that go to the liquidity providers
- revenue: fees that go to the protocol (UNI holders)- not available yet
The liquidity providers take about 98.9 percent of the fees generated
Composition by contract
i. Others $741k
ii. USDC-ETH - $289k
iii. WETH-USDT- $72.2k
iv. WBTC-WETH- $93.4k
v. WETH-USDC - 55.9k
vi. LDO-WETH - $19.8k
vii. USDC-USDT- $11.9k
viii. WETH-GMX - $47.9k
ix. DAI-WETH - $14.7k
x. BLUR-WETH - 0
The Ethereum chain generates more fees for the protocol
Financial statement for Q1 '23
Fees - $146.46m
Total incentives - $147.89k
UNI token holders 390.05k
TOKENOMICS
The token name for the Uniswap protocol is UNI, Uni token can be owned as an asset & also used to govern the protocol.
With the token holders can propose or vote on the upgrade of any changes to the protocol.
Supply;
Circulating supply 753,767,667
Total supply 1,000,000,000
Max supply 1,000,000,000
Token allocation;
Treasury 430,000,000
Team & investors 219,560,000
Investors - 180,440,000
Liquidity mining - 20,000,000
Airdrop - 150,000,000
Demand
The demand for the UNI torn should increase over time as more users are onboarded into the protocol to perform various DEX operations, like trading, swapping, and liquidity providing.
Final thoughts
Uniswap is a solid DEX that has gain dominance in the Defi space over the years, if you are looking towards earning some passive income in Defi you could consider providing liquidity to any of the pools that has solid TVL and liquidity.
Not losing sight of impermanent loss that might occur sometimes.
However, with a good background of the teams, active and bullish community, the need for swapping of tokens and all.
I feel UNISWAP will keep being in the space for a long time.
So like I will always say, play smart!
