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| genre = [[Decentralized exchange]]
| genre = [[Decentralized exchange]]
| license = [[GNU General Public License#version_3|GNU General Public License v3.0]]
| license = [[GNU General Public License#version_3|GNU General Public License v3.0]]
| website = {{URL|https://uniswap.org/}}
| website = {{URL|uniswap.org}}
}}
}}


'''Uniswap''' is a decentralized [[cryptocurrency exchange]] that uses a set of [[smart contract]]s (liquidity pools) to execute trades. It is an open source project and falls into the category of a DeFi product ([[Decentralized finance]]) because it uses smart contracts to facilitate trades. <!-- it seems to also be the name of the non-profit org that now employs developers to fix bugs and upgrade the protocol, but does not seem to fully "control" the protocol -->The protocol facilitates automated transactions between [[Cryptocurrency|cryptocurrency tokens]] on the [[Ethereum]] [[blockchain]] through the use of smart contracts. {{As of|2020|October}}, Uniswap was estimated to be the largest decentralized exchange and the fourth-largest cryptocurrency exchange overall by daily trading volume.<ref name="bloomberg20201016">{{Cite web |date=16 October 2020 |title=DeFi Boom Makes Uniswap Most Sought-After Crypto Exchange |url=https://www.bloomberg.com/news/articles/2020-10-16/defi-boom-makes-uniswap-most-sought-after-crypto-exchange |website=Bloomberg.com |language=en}}</ref>
'''Uniswap''' is a decentralized [[cryptocurrency exchange]] that uses a set of [[smart contract]]s to create liquidity pools for the execution of trades. It is an [[open source]] project and falls into the category of a DeFi product ([[Decentralized finance]]) because it uses smart contracts to facilitate trades instead of a centralized exchange. <!-- it seems to also be the name of the non-profit org that now employs developers to fix bugs and upgrade the protocol, but does not seem to fully "control" the protocol -->The protocol facilitates automated transactions between [[Cryptocurrency|cryptocurrency tokens]] on the [[Ethereum]] [[blockchain]] through the use of smart contracts. {{As of|2020|October}}, Uniswap was estimated to be the largest decentralized exchange and the fourth-largest cryptocurrency exchange overall by daily trading volume.<ref name="bloomberg20201016">{{Cite web |date=16 October 2020 |title=DeFi Boom Makes Uniswap Most Sought-After Crypto Exchange |url=https://www.bloomberg.com/news/articles/2020-10-16/defi-boom-makes-uniswap-most-sought-after-crypto-exchange |website=Bloomberg.com |language=en}}</ref>


==History==
==History==
Uniswap was created on November 2, 2018<ref>{{Cite web |last=Adams |first=Hayden |title=A short history of Uniswap |url=https://uniswap.org/blog/uniswap-history/ |website=Uniswap |date=11 February 2019 |language=en}}</ref> by Hayden Adams, a former mechanical engineer at [[Siemens]].<ref name=bloomberg20201016 />
Uniswap was created on November 2, 2018<ref>{{Cite web |last=Adams |first=Hayden |title=A short history of Uniswap |url=https://uniswap.org/blog/uniswap-history/ |website=Uniswap |date=11 February 2019 |language=en}}</ref> by Hayden Adams, a former mechanical engineer at [[Siemens]].<ref name=bloomberg20201016 />


The Uniswap company received investments from business angel Ric Burton and venture capital firms, including [[Andreessen Horowitz]], Paradigm Venture Capital,<ref>{{Cite web |last=Gara |first=Antoine |title=From Wall Street's Greatest Trade To The Top Dealmakers And Financial Entrepreneurs: 30 Under 30 In Finance 2021 |url=https://www.forbes.com/sites/antoinegara/2020/12/01/from-wall-streets-greatest-trade-to-the-top-dealmakers-and-financial-entrepreneurs-30-under-30-in-finance-2021/?sh=3962d9013b10 |website=Forbes |language=en}}</ref><ref>{{Cite web |last=Castillo |first=Michael del |title=11 Bitcoin And Blockchain Leaders Made Forbes 30 Under 30 List |url=https://www.forbes.com/sites/michaeldelcastillo/2020/12/01/10-bitcoin-and-blockchain-leaders-who-made-forbes-30-under-30-list/?sh=75e45a942198 |website=Forbes |language=en}}</ref> [[Union Square Ventures]] LLC and ParaFi.<ref name="bloomberg20201016" /><ref name="bloomberg20200929">{{Cite web |date=29 September 2020 |title=Novogratz Plows Ahead In DeFi Amid the 'Gamifying' of Crypto |url=https://www.bloomberg.com/news/articles/2020-09-29/novogratz-plows-ahead-in-defi-amid-the-gamifying-of-crypto |website=Bloomberg.com |language=en}}</ref> Uniswap’s average daily trading volume was US$220 million in October 2020.<ref name="bloomberg20201016" /> Traders and investors have utilized Uniswap because of its usage in [[decentralized finance]] (DeFi).<ref name="bloomberg20201016" />
The Uniswap company received investments from [[angel investor | business angel]] Ric Burton and venture capital firms, including [[Andreessen Horowitz]], Paradigm Venture Capital,<ref>{{Cite web |last=Gara |first=Antoine |title=From Wall Street's Greatest Trade To The Top Dealmakers And Financial Entrepreneurs: 30 Under 30 In Finance 2021 |url=https://www.forbes.com/sites/antoinegara/2020/12/01/from-wall-streets-greatest-trade-to-the-top-dealmakers-and-financial-entrepreneurs-30-under-30-in-finance-2021/?sh=3962d9013b10 |website=Forbes |language=en}}</ref><ref>{{Cite web |last=Castillo |first=Michael del |title=11 Bitcoin And Blockchain Leaders Made Forbes 30 Under 30 List |url=https://www.forbes.com/sites/michaeldelcastillo/2020/12/01/10-bitcoin-and-blockchain-leaders-who-made-forbes-30-under-30-list/?sh=75e45a942198 |website=Forbes |language=en}}</ref> [[Union Square Ventures]] LLC and ParaFi.<ref name="bloomberg20201016" /><ref name="bloomberg20200929">{{Cite web |date=29 September 2020 |title=Novogratz Plows Ahead In DeFi Amid the 'Gamifying' of Crypto |url=https://www.bloomberg.com/news/articles/2020-09-29/novogratz-plows-ahead-in-defi-amid-the-gamifying-of-crypto |website=Bloomberg.com |language=en}}</ref> Uniswap’s average daily trading volume was US$220 million in October 2020.<ref name="bloomberg20201016" /> Traders and investors have utilized Uniswap because of its usage in [[decentralized finance]] (DeFi).<ref name="bloomberg20201016" />


==Overview==
==Overview==
Uniswap is a [[decentralized finance]] protocol that is used to exchange cryptocurrencies and tokens; it is provided on [[blockchain]] networks that run [[open-source software]].<ref name=bloomberg20201016 /><ref>{{Cite web |date=11 September 2020 |title=Crypto Exchange Gets Millions After Copy-Paste of a Rival's Code |url=https://www.bloomberg.com/news/articles/2020-09-11/-come-to-jesus-moment-for-crypto-finance-apps-rocks-valuations |website=Bloomberg.com |language=en}}</ref> This is in contrast to cryptocurrency exchanges that are run by centralized companies.
Uniswap is a [[decentralized finance]] protocol that is used to exchange cryptocurrencies and tokens; it is provided on [[blockchain]] networks that run [[open-source software]].<ref name=bloomberg20201016 /><ref>{{Cite web |date=11 September 2020 |title=Crypto Exchange Gets Millions After Copy-Paste of a Rival's Code |url=https://www.bloomberg.com/news/articles/2020-09-11/-come-to-jesus-moment-for-crypto-finance-apps-rocks-valuations |website=Bloomberg.com |language=en}}</ref> This is in contrast to cryptocurrency exchanges that are run by centralized companies.


Changes to the protocol are voted on by the owners of a native cryptocurrency and governance token called UNI, and then implemented by a team of developers. UNI tokens were initially distributed to early users of the protocol.<ref>{{Cite web |last=Confidential |first=Crypto |title=Stimulus Checks From A Crypto Exchange; Bitcoin Rebound |url=https://www.forbes.com/sites/cryptoconfidential/2020/09/20/stimulus-checks-from-a-crypto-exchange-bitcoin-rebound/?sh=2f66301178d5 |website=Forbes |language=en}}</ref> Each Ethereum address that had interacted with Uniswap before September 1, 2020 received the ability to claim 400 UNI tokens (worth approximately $1,400 at the time). The [[market capitalization]] for the UNI token is over US$6.6 billion as of February 2022.<ref name=bloomberg20201016 />
Changes to the protocol are voted on by the owners of a native cryptocurrency and governance token called UNI, and then implemented by a team of developers. Uniswap launched without the UNI token, and the token is not needed to trade on the exchange. Tokens were initially distributed to early users of the protocol. <ref>{{Cite web |last=Confidential |first=Crypto |title=Stimulus Checks From A Crypto Exchange; Bitcoin Rebound |url=https://www.forbes.com/sites/cryptoconfidential/2020/09/20/stimulus-checks-from-a-crypto-exchange-bitcoin-rebound/?sh=2f66301178d5 |website=Forbes |language=en}}</ref>


==Protocol==
==Protocol==
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<references />
<references />


{{Cryptocurrency exchanges}}
{{Cryptocurrencies|state=collapsed}}


[[Category:Cryptocurrency companies]]
[[Category:Cryptocurrency companies]]
[[Category:Digital currency exchanges]]
[[Category:Cryptocurrency exchanges]]
[[Category:Ethereum]]
[[Category:Ethereum]]
[[Category:Ethereum tokens]]
[[Category:Ethereum tokens]]

Latest revision as of 06:01, 12 November 2024

Uniswap
Developer(s)Hayden Adams
Repositorygithub.com/Uniswap/uniswap-v3-core
Written inSolidity
PlatformEthereum
TypeDecentralized exchange
LicenseGNU General Public License v3.0
Websiteuniswap.org

Uniswap is a decentralized cryptocurrency exchange that uses a set of smart contracts to create liquidity pools for the execution of trades. It is an open source project and falls into the category of a DeFi product (Decentralized finance) because it uses smart contracts to facilitate trades instead of a centralized exchange. The protocol facilitates automated transactions between cryptocurrency tokens on the Ethereum blockchain through the use of smart contracts. As of October 2020, Uniswap was estimated to be the largest decentralized exchange and the fourth-largest cryptocurrency exchange overall by daily trading volume.[1]

History

[edit]

Uniswap was created on November 2, 2018[2] by Hayden Adams, a former mechanical engineer at Siemens.[1]

The Uniswap company received investments from business angel Ric Burton and venture capital firms, including Andreessen Horowitz, Paradigm Venture Capital,[3][4] Union Square Ventures LLC and ParaFi.[1][5] Uniswap’s average daily trading volume was US$220 million in October 2020.[1] Traders and investors have utilized Uniswap because of its usage in decentralized finance (DeFi).[1]

Overview

[edit]

Uniswap is a decentralized finance protocol that is used to exchange cryptocurrencies and tokens; it is provided on blockchain networks that run open-source software.[1][6] This is in contrast to cryptocurrency exchanges that are run by centralized companies.

Changes to the protocol are voted on by the owners of a native cryptocurrency and governance token called UNI, and then implemented by a team of developers. Uniswap launched without the UNI token, and the token is not needed to trade on the exchange. Tokens were initially distributed to early users of the protocol. [7]

Protocol

[edit]

Uniswap acts as an automated market maker and uses liquidity pools to fulfill orders, instead of relying on a traditional market maker, with an aim to create more efficient markets.[8][9][1] Individuals and bots—termed "liquidity providers"—provide liquidity to the exchange by adding a pair of tokens to a smart contract which can be bought and sold by other users according to the constant-product rule .[10] In return, liquidity providers are given a percentage of the trading fees earned for that trading pair. For each trade, a certain amount of tokens is removed from the pool for an amount of the other token, thereby changing the price. No fees are required to list tokens which allow a large amount of Ethereum tokens to be accessible and no registration is required for users.[1] As open-source software, Uniswap's code can also be forked to create new exchanges.[11]

References

[edit]
  1. ^ a b c d e f g h "DeFi Boom Makes Uniswap Most Sought-After Crypto Exchange". Bloomberg.com. 16 October 2020.
  2. ^ Adams, Hayden (11 February 2019). "A short history of Uniswap". Uniswap.
  3. ^ Gara, Antoine. "From Wall Street's Greatest Trade To The Top Dealmakers And Financial Entrepreneurs: 30 Under 30 In Finance 2021". Forbes.
  4. ^ Castillo, Michael del. "11 Bitcoin And Blockchain Leaders Made Forbes 30 Under 30 List". Forbes.
  5. ^ "Novogratz Plows Ahead In DeFi Amid the 'Gamifying' of Crypto". Bloomberg.com. 29 September 2020.
  6. ^ "Crypto Exchange Gets Millions After Copy-Paste of a Rival's Code". Bloomberg.com. 11 September 2020.
  7. ^ Confidential, Crypto. "Stimulus Checks From A Crypto Exchange; Bitcoin Rebound". Forbes.
  8. ^ Lo, Yuen; Medda, Francesca (3 November 2020). "Uniswap and the rise of the decentralized exchange". Mpra.ub.uni-muenchen.de.
  9. ^ Konrad, Alex. "These Young Investors Are Still Betting Big On Crypto — And Are Taking Harvard And Stanford Along For The Ride". Forbes.
  10. ^ Adams, Hayden; Zinsmeister, Noah (March 2021). "Uniswap v3 core" (PDF). Uniswap.
  11. ^ Osborne, Charlie. "DeFi SushiSwap creator returns $14m in ETH to project after causing token crash". ZDNet.
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