There are over 1,000 different cryptocurrencies in existence, and they’re constantly being created or forked off of other coins. It can be difficult to figure out which ones are worth your time and investment.
Uniswap is a decentralized token exchange that aims to solve this problem by providing an instant solution for exchanging tokens via smart contracts and using atomic swaps to trade any two tokens without going through a centralized exchange. If you want to find out more about this coin and why it’s so promising, keep reading!
How does Uniswap work?
When you’re using a centralized exchange, all the tokens are stored in one place. For example, if you used Binance as your cryptocurrency exchange, all your tokens would be stored with them. That’s not ideal – what would happen if they got hacked or went offline? You’d lose everything!
With Uniswap, you can trade any ERC20 token for another without going through a third-party exchange by creating a smart contract that directly exchanges your tokens. This way, there’s no central place where all your tokens are stored, and it doesn’t matter if the platform goes offline or gets hacked because your funds will always be safe.
UNI is the native token of Uniswap, which is needed for interactions with the platform. Transactions using the UNI token are part of Ethereum’s gas cost that must be paid in Ether (ETH), making the transaction fees for UNI extremely low.
Another benefit is that it’s also used to incentivize liquidity providers. Those who offer their services to manage large trades and exchanges of tokens will receive a reward in proportion to how much they trade on Uniswap.
How to buy UNI
UNI is available on most major exchanges, including Binance, Ethfinex, and OKEX. You can also purchase it using a fiat currency and with multiple cryptocurrencies.
There’s a total supply of 1 Billion UNI, and the current price is USD 30.41. The coin can be bought in fractions up to 18 decimal places for an extremely low price per token.
The reason it’s so cheap is that, on average, people are actually using Uniswap to exchange tokens. This means that there will always be someone willing to buy your coins, increasing the price over time.
If you buy UNI, the best place to store them is in a wallet that you control. To use Uniswap, however, you need to send your tokens from your personal wallet into an Ethereum smart contract that has been created using the Uniswap platform.
History of Uniswap (UNI)
In May of 2018, the Uniswap team held a beta test for the token marketplace and since then has been working on refining the platform before releasing it to a wider audience.
Julian Moncada and Santiago Siri created Uniswap after they were frustrated with the complexity of token exchanges on centralized exchanges. They wanted to make it easier for individuals to transfer tokens without completing an exchange order each time.
As previously mentioned, there are 1 Billion UNI tokens, all of which can be bought in fractions up to 18 decimal places for an extremely low price per token. Uniswap is indeed the cheapest way to transfer tokens without depending on any kind of 3rd party. This makes Uniswap the platform of choice for people interested in regularly transferring high volumes of tokens.
Uniswap has some exciting developments coming up, including support for decentralized margin trading by smart contracts so that users can leverage their positions without having to deposit any funds into an exchange.
In summary, Uniswap is a smart contract service that makes it easy for you to transfer any ERC20 token without having to depend on a 3rd party. The platform also provides liquidity providers with rewards in exchange for their services.
The team has been working hard since May of 2018, and some exciting developments are coming up soon. Currently, the best place to store the UNI token is in a wallet that you control. But to use Uniswap, you need to transfer your tokens from personal storage into an Ethereum smart contract that has been created using the Uniswap platform.
You can go to most major exchanges to buy UNI tokens, including Binance, OKEX, and Ethfinex. So, whether it’s liquidating your assets during a bear market or simply trading between tokens with ease, Uniswap is the best platform for you!
Uniswap (UNI) FAQ
How many coins are in circulation?
There are 1 Billion UNI in total, with approximately 520 million of them currently in circulation.
How many coins are in total?
The total supply of UNI is 1 Billion tokens.
Where can I store UNI?
Currently, the best place to store your coins is in a wallet that you control. Make sure it’s an ERC20 compliant wallet so you can receive/send tokens easily. But to use Uniswap, you need to transfer your tokens from personal storage into an Ethereum smart contract that has been created using the Uniswap platform.
What is the roadmap for UNI?
The current roadmap includes support for decentralized margin trading by smart contracts, a liquidity provider rewards system, and a multi-token swap feature that allows swaps between any tokens without going through a 3rd party.
Is Uniswap safe?
Yes. You can always access your tokens whenever you need them, and the only thing that changes is the ownership of those tokens. e.g., If someone buys your tokens from Uniswap for $1 each, they will now own those tokens, and you won’t be able to withdraw or access them.
What are the fees for using Uniswap?
Currently, there is a 0.01% fee per operation, and all assets (except for ETH) are free to use. The only thing that the fees cover is hosting and maintenance of the smart contract. If you want to withdraw tokens from Uniswap, you will have to pay GAS fees and a small fee for using the service.