Uniswap, an Ethereum-based decentralized exchange (DEX), has seen its trade volume reach over $1 trillion since its launch in late 2018. Yet, this comes from a relatively small user base, which indicates a great deal of potential for expansion in the future.
After a little over three years, the number of cumulative addresses on the DEX reached approximately 3.9 million. Uniswap Labs, which are essential players in creating the system and ecosystem, confirmed the data. On May 24, they published the data on Twitter and made the following caption.
Over the past three years, the Protocol has onboarded millions of people to the realm of DeFi. Besides, it has set fair and decentralized trading and reduced the hurdle to liquidity provision.Uniswap Labs
The protocol is available on Ethereum and layer-2 scaling solutions such as Optimism, Polygon, and Arbitrum. Besides, the Ethereum-based decentralized exchange disclosed earlier this month that they would extend the DEX to include two EVM-compatible chains. These chains are Polkadot-based para-chain Moonbeam Network and Gnosis Chain.
Compared to its rivals in the DEX market, Uniswap’s volume of trades places it in a position of superiority. According to CoinGecko, the V3 Protocol used by Uniswap produced 938 million dollars worth of traffic for the last 24 hours. This figure represents 33 percent of the total market share. PancakeSwap (v2), based on the Binance Smart Chain, comes in at number two with a total capitalization of $491 million and a market share of 17.3 percent.
Uniswap 24hour trading volume stands at $938 Million
Compared to controlled exchanges (CEXs) data, Uniswaps’s 24-hour volume of $938 million placed it in a distant third place. Thus, falling behind sites such as Binance, FTX, and Coinbase, which raised $12.2 billion, $1.95 billion, and $1.79 billion, respectively.
Noteworthy is the fact that the DEX is years ahead of some of the major competitors in the crypto sector. Crypto.com and Kraken, which made 724.9 million dollars and 597.4 million dollars in revenue, fall behind Uniswap.
According to DeFi Llama, the protocol has accumulated over 5.93 billion dollars worth of total value locked (TVL). Thus, it assumes fifth place as the most significant sum in the decentralized finance (DeFi) industry. PancakeSwap, on the other hand, comes seventh with 4.27 billion dollars worth of TVL. MakerDAO is the most effective platform, with a total value of 9.82 billion TVL. Additionally, the protocol has announced the formation of a venture capital arm for Web3 projects.
Despite Uniswap’s capacity to generate much demand and liquidity, it hasn’t done much to impact the value of its native token UNI in 2022. This is the case even though Uniswap has been successful. UNI has undergone a price decrease of around 67% since January, and it is currently trading at $5.59. UNI reached its all-time high price of $44.92 at the beginning of May 2021, and the price has decreased by 87.5 percent since then.
Uniswap on Polkadot
Uniswap will expand its operations into new spheres after the community voted to join Polkadot.
Within the Uniswap community, there was voting on a proposal to deploy the prominent crypto exchange on Moonbeam. Moonbeam is a Polkadot Parachain that powers DeFi applications.
As per a proposition, gaining access to the more extensive customer base of Polkadot clients was the push behind the move. The protocol’s users have primarily kept their information to themselves. Moonbeam is the “de facto DeFi hub for Polkadot.” Yet, Uniswap intends to transform it by providing alternatives to users.
Gnosis chain is being promoted as “a DeFi ecosystem that is ready for expansion.” In any scenario, the ideas aim to establish Uniswap as the dominant player in the public blockchain DeFi arena.