Uniswap Leans Into Multichain Future — Kinda

An uptick in blockchain deployment proposals on the DEX could be attributed to a shift around Uniswap’s commercial usage provisions

article-image

Vladimir Kazakov/Shutterstock.com modified by Blockworks

share

Uniswap is looking to “deploy everywhere,” according to a sizable delegate, as the DEX looks to double down on its already dominant market share.

Deploying on a number of Web3-oriented blockchains via Uniswap v3 has been the decentralized crypto exchange’s (DEX) latest move to bolster that effort. 

The recent uptick in blockchain deployment proposals likely stems from Uniswap v3’s business source license (BSL) expiring in the next few months, according to Getty Hill, the co-founder of the delegate, GFX Labs.

When Uniswap’s previous iteration, v2, first launched, opportunities abounded to fork its code  and launch copycat protocols on different chains, Hill said. 

“They would just copy and paste the code, launch and slap their own token on it,” Hill told Blockworks.

Binance’s popular BNB chain is now one of the most recent — and one of the most prominent — such protocols under consideration. Participants in Uniswap’s decentralized ecosystem have been in favor, considering some 80% of UNI (Uniswap’s token) holders on Tuesday voted in favor of the “temperature check” around the decision.  

Uniswap v3 focuses on concentrated liquidity; it deployed on Ethereum mainnet in May 2021; and it has consistently ranked first in its slice of overall market share.  

UNI holders behind proposals 

The product has since been rolled out on a growing number of protocols new to its platform, including Arbitrum, Optimism (OP), Polygon (MATIC) and Celo.

In an effort to sidestep Uniswap’s previous woes this time around, according to Hill, the protocol likely made the decision to attach the BSL. Meaning, in other words, that commercial uses of the code would require consent from Uniswap’s community. 

“But in April, the gloves come off — and, at that point, it would be free reign for anyone to deploy and use [the code] whichever way they want,” he said. 

It all adds up to a bit of a free for all.

“So, the strategy that [we] came to the conclusion with is that — small chain, big chain, bad chain, good chain — we’re deploying everywhere — because it’s much harder to fork the protocol if there’s already a Uniswap v3 deployment there.”

Deploying on other chains has so far borne fruit for Uniswap. After launching on Polygon for three months, the protocol managed to capture almost 50% of its market share. 

Erin Koen, ​​head of asset management at Avantgarde Finance, said that a number of Uniswap’s proposals in progress are poised to likely benefit the DEX itself — as well as the chain chosen for Uniswap deployment. 

Drawing on BNB as an example, Koen said it’s crucial that Uniswap captures trade volume on those chains, especially as the DEX eventually turns on its fee switch. Avantgarde Finance is another Uniswap delegate and acts as the lead maintainer of the Enzyme protocol, a blockchain infrastructure that allows for non-custodial, third-party management of pooled assets. 

“Eventually, we want to turn Uniswap into a protocol that can sustain itself,” Koen said. “Rather than just rely on this admittedly massive treasury … If there’s volume happening somewhere, we want to be a part of it,” Koen said. 


Start your day with top crypto insights from David Canellis and Katherine Ross. Subscribe to the Empire newsletter.

Explore the growing intersection between crypto, macroeconomics, policy and finance with Ben Strack, Casey Wagner and Felix Jauvin. Subscribe to the Forward Guidance newsletter.

Get alpha directly in your inbox with the 0xResearch newsletter — market highlights, charts, degen trade ideas, governance updates, and more.

The Lightspeed newsletter is all things Solana, in your inbox, every day. Subscribe to daily Solana news from Jack Kubinec and Jeff Albus.

Tags

Upcoming Events

Salt Lake City, UT

MON - TUES, OCT. 7 - 8, 2024

Blockworks and Bankless in collaboration with buidlbox are excited to announce the second installment of the Permissionless Hackathon – taking place October 7-8 in Salt Lake City, Utah. We’ve partnered with buidlbox to bring together the brightest minds in crypto for […]

Salt Lake City, UT

WED - FRI, OCTOBER 9 - 11, 2024

Permissionless is a conference for founders, application developers, and users. Come meet the next generation of people building and using crypto.

Javits Center North | 445 11th Ave

Tues - Thurs, March 18 - 20, 2025

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

recent research

small cap eth beta trade.png

Research

With a strong correlation to ETH, METIS appears to be a favorable ETH beta play at a time when L2s should see increasing market share relative to Ethereum.

article-image

Bitwise took the initial steps for an XRP ETF Wednesday

article-image

Plus, enrollment for the Donald Trump-backed crypto project is underway

article-image

On Solana so far, there are two main competitors: Jito and Solayer

article-image

Plus, Sui-eet liquidity surge and USDC’s new home on Base

article-image

The Web3 community is stacking bricks when it should be building bridges