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Uniswap posts losses as vote on fee split postponed
Decentralized cryptocurrency exchange Uniswap (UNI) has fallen in price following a new vote on revenue sharing with its community. This comes as the digital asset market posts weekly gains and increases in daily numbers. Total market capitalization today stands at $2.56 trillion, up 0.5% as bulls try to accumulate after mid-week lows.
Uniswap price saw a price drop taking over the baton Ethereum (ETH), which posted losses of more than 0.1% this week after scaling back its anticipation of spot ETF approvals.
UNI trades at $10.86, marking a 7% daily decline versus other crypto assets in the top 20 by market capitalization. This sharp decline reduced the monthly figure to 41.72%, although daily projections moved sideways.
Uniswap trading volumes grew by 19% along with increased on-chain growth following new developments. Last week, Uniswap processed $20 billion worth of trades as decentralized finance (DeFi) protocols see a surge in assets under management (AUM).
Revenue sharing spurred Uniswap
Uniswap was expected to vote today on the “fee change” that will allow token holders to share revenue. It also made its financial data public before the vote in an effort to distribute it for free on its own.
“Next Friday, May 31, the UF will launch on-chain voting to update the protocol so that its commission mechanism can reward UNI token holders who have staked and delegated their tokens. If you are a UNI holder and want to vote on this proposal, you **must** have your UNI delegate…”
However, while this is laudable, some Uniswap users fear that it could attract harsh regulations from the Securities and Exchange Commission (SEC).
The broader market recovers
The cryptocurrency market showed a slight recovery following bearish fears leading to outflows. Today we see a turning point Bitcoin (BTC) and Ethereum with gains of 0.75% and 1.24% respectively. Bitcoin is trading at $68,643 while Ethereum is at $3,816. Other assets such as BNB and Solana (SOL) also saw slight inflows. Meme coins have rallied on the back of new sentiment in the market.
Read also: The largest cryptocurrency airdrops at checkout in June 2024
David is a financial news contributor with 4 years of experience in Blockchain technology and cryptocurrencies. He is interested in learning about emerging technologies and has an eye for the latest news. Staying up to date on trends, David has reported in several niches including regulation, partnerships, cryptocurrencies, stocks, NFTs, etc. Away from the financial markets, David cycles and rides horses.