Uniswap is now even larger than the whole DeFi ecosystem in just two months, as the trading protocol becomes the primary to pass the $2 Bln milestone.
Recently today on Monday, Uniswap clocked the record figure just after midnight [UTC] & presently has $2.06 Bln worth of digital assets locked in, consistent with crypto rankings website DeFi Pulse.
Compared to its neck-breaking growth, there’s now more value just in Uniswap than there was within the whole DeFi ecosystem on 9th July.
At the reporting time, there’s now over $11 Bln in total value locked [TVL] in DeFi, with Uniswap making up approximately 18% of that.
Primarily based on Ethereum, Uniswap utilizes an automatic market-making system leveraging liquidity pools so users can exchange or “swap” between Ethereum [ETH] and any other ERC-20 token.
Holders are incentivized to deposit tokens in these liquidity pools with interest and a cut of the swap fee – the entire balance in these pools together structure Uniswap’s over $2 Bln TVL.
Today’s news reveals just what proportion Uniswap’s fortunes have changed within the past few weeks.
While earlier in the month of September, around $830 Mln worth of vital liquidity was shifted to rival protocol SushiSwap, resulting in Uniswap’s TVL to plunge to solely $400 Mln by 10th September.
A week later, so as to coax users back, Uniswap revealed its own native UNI token & airdropped over $500 Mln to wallet addresses who had been employing the protocol since before September.
UNI token has led users to quickly snap back to Uniswap as well as its TVL was approximately $1.8 Bln just days after the token was initially launched.
The platform plans to issue and distribute 4 Bln UNI tokens to the community over the subsequent 4-years.
The next leading DeFi project, p2p lending platform Maker, trails slightly behind Uniswap at $1.96 Bln TVL, consistent with DeFi Pulse.