- Uniswap unveiled UniswapX, a new platform in its ecosystem.
- The new service will remove some of the key challenges in DeFi.
Uniswap, the pioneer decentralized exchange (DEX), is going through changes as it seeks to boost its usage. In a statement, the company said that it will launch UniswapX, a platform for trading across automated market makers (AMM) and other liquidity sources.
Uniswap unveils UniswapX
The new product will address some of the top challenges that companies in the industry face. Some of the top features will be better prices for aggregating liquidity and gas-free swapping and protection against maximal extractable value, also known as MEV. There will also be no fees for failed transactions.
UniswapX’s beta will first go live in Ethereum’s network. It will then be pushed to other Uniswap’s networks like Arbitrum and Optimism.
UniswapX’s concept is relatively simple. Most companies in the industry rely on liquidity providers. While liquidity is often enough across markets, it can dry up at some times. Therefore, the network will use third parties to ensure that there is enough liquidity in the market.
Read more: How to buy Uniswap token.
These third parties are known as fillers and they will also cover gas fees on behalf of swappers. They will incorporate gas fees in their transactions but they can also reduce costs by aggregating multiple orders.
Uniswap is the biggest DEX in the world. Data compiled by DeFi Llama shows that it is the 6th player in DeFi with over $3.8 billion in total value locked. Most of these funds are in Ethereum, Arbitrum, Polygon, and Optimism.
Uniswap is also one of the most profitable players in the crypto industry. According to TokenTerminal, it made over $296 million in the past 180 days, making it the third most profitable networks after Ethereum and Tron.
According to CoinMarketCap, Uniswap’s v3 (Ethereum) handled over $460 million in volume in the past 24 hours. This made it the second exchange after dYdX, which handled $755 million. Uniswap (Arbitrum), Uniswap v2, and Uniswap (Polygon) handled $261 million, $195 million, and $53 million, respectively.
Uniswap price prediction
Uniswap’s UNI token jumped after the UniswapX news. It rose to a high of $6.15 on Monday, the highest level since April 19th. The coin has jumped above the important 50-day and 100-day moving averages. The two averages are about to form a bullish crossover pattern while the MACD has jumped above the neutral point.
The outlook for UNI price is bullish, with the next level to watch being at $7.0. A drop below the support at $5.3 will invalidate the bullish view.
