Uniswap’s New Fee Structure: Are You About To Pay More For These Tokens?
Recently, Uniswap, a prominent decentralized exchange, made headlines by introducing a 0.15% swap fee on specific tokens.
While generating buzz and curiosity, this decision has raised several questions regarding its impact on traders.
Decentralized exchanges (DEX) facilitate peer-to-peer trading without intermediaries.
The absence of centralized entities has advantages but also presents challenges, especially regarding fee structures.
Uniswap’s latest update to alter its fee structure is a significant shift with potential implications for its large user base.
Related Reading: Uniswap V4 Expected To Be Huge, But Is This Requirement A Dealbreaker? Uniswap Fee Structure: Analyzing The Financial Impact According to data shared by Colin Wu, a blockchain-focused reporter, the daily fees from this change on Uniswap V3 could range between $388,000 and $444,000.
Providing deeper insight into the platform’s operations, Wu mentions that approximately 35% to 40% of the entire transaction volume on Uniswap occurs on the front end.
These figures, while substantial, are just the tip of the iceberg.
Specific tokens targeted for this new fee include popular tokens such as ETH, USDC, WETH, USDT, DAI, WBTC, agEUR, GUSD, LUSD, EUROC, and XSGD.
However, according to the Chinese reporter, this fee will only apply when these tokens are traded through Uniswap Labs interfaces on the mainnet and its supported Layer 2 networks.
Currently, about 35%-40% of the transaction volume in Uniswap is completed through front end, H/T @1kbeetlejuice.
Ethereum Uniswap V3 in the past 24h is $810m, excluding major stablecoin pairs, which is $740m, the daily fees charged by V3 may be $388k-444k….