- Uniswap governance permitted the UNIFation proposal with 99.9% assist.
- The vote permits the protocol charge swap, which routes transaction charges to the continued UNI burn.
- A one-time write of 100 million UNI will happen after a two-day timelock.
Uniswap governance permitted the UNIfication proposal, pushing the protocol to a brand new financial stage. Voting ended Thursday with 99.9% assist, Hayden Adams mentioned. Greater than 125 million UNI members voted in favor, with simply 742 votes in opposition to, far exceeding the required quorum.
The proposal was launched in November by Uniswap Labs and Uniswap Basis. This represents essentially the most vital governance change in Uniswap’s historical past.
Deflation mannequin is revitalized by charge swap
UNIfation activates a long-planned protocol charge swap. A portion of buying and selling charges will now go to the protocol reasonably than going solely to the liquidity supplier. These fees are used to burn UNI.
Web sequencer charges from Unichain additionally go to the identical writing system. In consequence, there’s a direct correlation between protocol utilization and diminished provide. Extra buying and selling quantity means extra UNIs are faraway from circulation.
After a two-day timelock, Uniswap will carry out a one-time write of 100 million UNI. This determine estimates how a lot UNI would have been consumed if charge switching had existed since its inception.
Structural modifications and authorized changes
As well as, UNIfication will combine Uniswap’s operations. The Basis’s workforce and duties will transfer beneath Uniswap Labs. Interface, pockets, and API charges from Labs shall be eliminated.
The proposal additionally establishes a recurrent progress finances funded by UNI to assist long-term improvement reasonably than short-term incentives. A brand new authorized construction utilizing Wyoming’s DUNA framework will align Uniswap Labs, the Basis, and on-chain governance beneath one group.
The governance bundle features a protocol charge low cost public sale designed to enhance returns for liquidity suppliers whereas sustaining protocol-level worth seize.
A number of massive UNI holders supported the proposal, together with Jesse Waldren, Kane Warwick and former Uniswap engineer Ian Lapham.
The vote follows years of regulatory stress on DeFi beneath former SEC Chairman Gary Gensler. Now, beneath President Donald Trump’s pro-crypto administration, crypto companies are thriving because the SEC has dropped all investigations into crypto firms.
Associated: Uniswap’s UNIInception: Why the protocol is lastly flipping the charge swap
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