UNI token is the currency of the largest decentralized exchange in the cryptocurrency industry. It’s designed to create pools on this exchange and vote on its development. The exchange, like the Uniswap cryptocurrency, is wholly owned by the community.
The popularity of the Uniswap decentralized exchange is breaking records. The number of users of the platform is constantly growing, and this is the best proof that Uniswap is really needed by the crypto community. Let’s try to figure out what kind of platform it is and why the UNI token is so popular!
How Was Uniswap (UNI) Created?
The Uniswap cryptocurrency didn’t have an ICO. It was launched and allocated in September 2020. Everyone who used the Uniswap exchange before September 2020 received 400 UNI coins. At the time of allocation, each coin cost $2, on the very first day its price increased to $4. On September 14, 2021, it costs $23.07. In total, 1 billion UNI was created, they will be released over 4 years and allocated among users of the project.
Tokens will be allocated in the following proportions:
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- 60% of coins will go to the community;
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- 21.266% will be received by the development team;
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- 18.044% will go to investors;
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- 0.69% will be received by project advisors.
Some of the coins from the community’s share went to pay for the first liquidity pools (which were launched by community members).
The Project Team
The exchange and its cryptocurrency were created by Hayden Aams, who previously worked as an engineer at Siemens. He learned about the blockchain industry from his friend, who by that time was a developer at the Ethereum Foundation. Uniswap is developed in New York.
Main Uniswap Functions to Know
Holders of UNI tokens have full control over the network and its development. The developers have given the green light for experimentation: at their discretion, users can launch grants, fund product development, and use token stocks in any other way they want.
The community gains the ability to set Uniswap commissions through voting. Also, community members are responsible for ensuring that the project works in accordance with requirements of regulators. They can bring in legal and regulatory professionals before making changes to the project.
The members of the development team won’t deal with these issues directly but can delegate their votes to community members. However, they shouldn’t influence decisions. Owning 1% of UNI cryptocurrency gives the right to put an issue to a vote. 4% of tokens give the right to vote ‘yes’ when making a decision. Those who don’t have that many UNIs can delegate their tokens to another network member. Voting on each issue lasts 7 days.
What Is Uniswap Token (UNI)?
UNI token is the platform’s own coin and brings income to its owners for providing liquidity. How was mentioned before, UNI also makes it possible to manage the development of the platform by voting for certain changes within the network. The holders of these tokens determine the mechanism for allocating the coins among community members and developers.
The token was released in September 2020 and allowed Uniswap to transfer some of the exchange’s management functions into the hands of users. Thus, the community’s level of trust in Uniswap and the platform’s rating have increased.
UNI token is unique due to the following features:
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- UNI is a tool for managing and voting in the network. It is not used to pay commissions (ETH is used for this), to create apps, and so on. That is, its functionality is strictly limited.
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- First, a protocol was created. Only more than 2 years later, the native token was released, although initially it was not planned.
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- Coin standard: ERC-20. It was created on the Ethereum blockchain and, thanks to this, is accepted by dozens of wallets.
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- UNI is a native protocol token that acts as a decentralized exchange. According to CoinMarketCap Uniswap V3 is the 2nd most popular DEX. In August 2021, it accounted for 19.306% of the market volume.
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- Token trading is available on both CEX and DEX.
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- The project received its first funding from the Ethereum Foundation.
Where to Buy and Store UNI?
The Uniswap project has been well received by the entire cryptocurrency community. If you want to invest in Uniswap, then you can buy it through an exchange like any other cryptocurrency.
Thus, if you’re interested in buying UNI, you should definitely think about doing this at Switchere. On our platform, you have an opportunity to buy and sell UNI in the fastest and most convenient way. Moreover, we offer some surprising bonuses! Users of our platform enjoy a 0% service fee for the first order.
You can store UNI in all popular wallets, for example, MetaMask, Trust Wallet, Exodus. Many holders of these coins store them in liquidity pools to receive a percentage of their Uniswap transactions.
Uniswap (UNI) Prospects & Price Prediction
Uniswap cryptocurrency is an integral part of the Uniswap exchange ecosystem, so its prospects directly depend on the success of the exchange. Now transactions worth $1 billion are carried out per day on the Uniswap exchange, it occupies 40% of the volume of all decentralized exchanges. The project has a good idea — at launch, it was supported by many major cryptocurrency players.
DigitalCoinPrice is fairly bullish on its Uniswap outlook and expects the price to gradually increase over the long term. DigitalCoinPrice predicts Uniswap to rise to $28.90 by the end of 2021, $39.74 by the end of 2023, and finally reach a figure of $57.18 by 2025.
Conclusion
The Uniswap team has created a unique project. It meets the popular ideas of decentralization and anonymity. Uniswap users have also appreciated the platform’s benefits and ease of use. Uniswap is constantly evolving and looking for new solutions that will make the use of this platform even more beneficial for users.
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