The Uniswap community has approved two vital governance proposals aimed at driving ecosystem growth, including Ethereum layer-2 Unichain and the Uniswap v4 protocol. These proposals are backed by $165.5 million in funding.
The Vision Behind the Proposals
The approved governance decisions are part of the Uniswap Unleashed plan, designed to accelerate the adoption of Unichain and the Uniswap v4 protocols. Their overarching goal is scalability, enhancing capital efficiency, and attracting new users while empowering innovation within the Uniswap ecosystem.
Allocating $165.5 Million for Ecosystem Expansion
Governance vote approved a total of $165.5 million: $95.4 million for Uniswap Foundation’s grants, $45 million for liquidity incentives, and $25.1 million for operational expenses over the next two years.
The Importance of the Fee Switch and Uniswap v4
The approval of these proposals paves the way for the activation of the fee switch, which allows a portion of fees to flow to UNI token holders. Uniswap v4 introduces 'hooks', offering developers greater flexibility in creating interactions.
The approval of the funding marks a pivotal moment for Uniswap, emphasizing its commitment to innovation and growth in the DeFi space.
