Uniswap Introduces Swap Fees on 11 Assets
Decentralized exchange Uniswap has faced backlash from the crypto community after implementing swap fees in addition to the existing protocol fee. Founder Hayden Adams announced that starting October 18, a 0.15% swap fee would be charged on certain tokens in the Uniswap web app and wallet. This fee is one of the lowest in the industry and will contribute to funding research, development, and expansion of crypto and DeFi.
The swap fees will be applicable to 11 assets, including ETH, USDC, WETH, USDT, DAI, WBTC, agEUR, GUSD, LUSD, EUROC, and XSGD. However, fees will only be collected on swaps involving tokens subject to fees on both input and output.
Crypto Community Reacts
The introduction of swap fees sparked criticism from the crypto community. Some users expressed disappointment that UNI token holders did not receive any benefits despite the new revenue stream. There were also claims that Uniswap was implementing know-your-customer (KYC) measures in its V4 version, although this could not be independently confirmed.
Investor Scott Melker mentioned that the introduction of KYC features triggered debates about the future of DeFi. However, the announcement had little impact on UNI token price, which has been declining for a while.
UNI Token Price
The UNI token has been performing poorly in the bear market and has now added swap fees as another disappointment for holders. Currently trading at $4.10 with a 1% drop on the day, UNI has experienced a significant decline of 91% since its all-time high of $44.92 in May 2021.
Hot Take: Uniswap Faces Criticism for Implementing Swap Fees and Neglecting UNI Token Holders
Uniswap’s decision to introduce swap fees on certain assets has caused a stir in the crypto community. While the fees are relatively low compared to other platforms, critics argue that UNI token holders are not benefiting from this revenue stream. Additionally, there have been claims that Uniswap is implementing KYC measures, sparking debates about the future of decentralized finance. Despite these controversies, the UNI token price has been on a downward trend and continues to disappoint investors. It remains to be seen how Uniswap will address the concerns raised by its user base.
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