What is Uniswap ?
Uniswap: the decentralized platform to swap crypto with no middleman 🔁💸
Uniswap is the king of decentralized exchanges (DEX). Launched in 2018 on Ethereum, it allows anyone to trade crypto without a centralized company.
Uniswap is based on a powerful idea: automated peer-to-peer trading, powered by smart contracts. No order books, no KYC, just pure DeFi.
How does Uniswap work?
Uniswap runs on an Automated Market Maker (AMM) model. Users deposit tokens into liquidity pools (like ETH/USDC) and earn a share of the trading fees.
✅ Want to swap ETH for DAI? Do it instantly, no sign-up.
✅ Want to earn passive income? Provide liquidity and earn a cut of the fees.
Everything is automated, transparent, and open 24/7.
UNI: the governance token
The UNI token was launched in 2020 to empower users. With UNI, you can:
- Vote on protocol upgrades
- Propose new ideas
- Earn rewards through staking
UNI has become a key player in DeFi, with a market cap among the top governance tokens.
Why Uniswap matters
- 🔓 It challenges centralized exchanges like Binance and Coinbase
- 💰 It provides passive income via liquidity provision
- 🌍 It’s permissionless and open to everyone
- ⚙️ It evolves constantly with V2, V3, and upcoming V4
Know the risks
As with any DeFi project, Uniswap has its risks:
- 📉 Volatile token pairs
- ⚠️ Impermanent loss for liquidity providers
- 🧑💻 Smart contract vulnerabilities
Still, Uniswap is a foundational tool for any serious DeFi user.