Leading decentralized crypto exchange Uniswap achieves another milestone as its cumulative volume has touched the mark of $100 billion.
The rise of decentralized exchanges has challenged centralized exchanges in volume and users as people want no intervention from a third party. Users want full control of their accounts and wallets and do not want a centralized entity to handle their information.
Decentralized finance (DeFi) has the capability to digitize the financial infrastructure with its efficient feature of a smart contract. Decentralized exchanges have attracted investors the most out of all DeFi projects.
In his recent tweet, Hayden Adams, Uniswap’s CEO, informed the users’ community that the platform successfully executed $100 billion in transactions. The exchange is now included in the list of largest crypto exchanges as it processed $1.2 billion in transactions in the previous 24-hours, according to data aggregator site CoinGecko.
However, transaction fees arise with the growth of DEXs as the majority of the decentralized exchanges are based on the Ethereum network. The DeFi projects built on Ethereum’s blockchain have increased, which makes fees high. According to on-chain reports, during the overload situations, the fees reached as high as $100.
Uniswap emerged as a leading automated trading broker due to its top-notch features, such as acquiring new disruptive projects. What’s more, it is also famous for its high liquidity. Last year, the firm distributed 400 UNI coins in an airdrop scheme. At the current price tag, the worth of 400 UNI tokens becomes $8,400. UNI token is currently exchanging hands at $20.74 after a slight decrease of 1.84% in the past 24-hours.
Next Goal: $1 Trillion
The exchange has witnessed an enormous adoption in the recent few months. It is also revealed that it processed $20 billion in transactional volume last month. Adams created a poll on Twitter, and the results tell the cumulative volume of Uniswap could reach $1 trillion in 2022.
However, the market analysts also pinpoint the negative things of the DEXs as money launderers can misuse them. In a few cyberattacks on centralized exchanges, hackers used DEXs to transfer crypto assets as a core team does not directly control them.