Arbitrum

Uniswap

Optimism

Polygon

Uniswap (<a href="https://www.newsbtc.com/news/uniswap/uniswap-v4-catalyst-uni-token-primed-for-growth-as-new-chain-launch-loom/" target="_blank" rel="noopener ">UNI</a>), one of the largest decentralized cryptocurrency exchanges (DEX) by trading volume, has made an important announcement regarding deploying its v2 protocol on six additional chains.&nbsp; 
The chains on which the v2 protocol has been deployed include Arbitrum (ARB), Polygon (MATIC), Optimism (OP), Base, Binance Smart Chain (BSC), and Avalanche (AVAX). 
<h2 id="uniswap-widens-v2-protocol-deployment">Uniswap Widens v2 Protocol Deployment</h2> 
According to a recent <a href="https://x.com/Uniswap/status/1760048438656356693?s=20" target="_blank" rel="noopener nofollow">post </a>on X (formerly Twitter) by Uniswap Labs, the software product developer working on the protocol, the decision to deploy the v2 protocol on more chains is primarily driven by the desire to simplify the experience for Liquidity Providers (LPs). 
While the protocol’s v3 offers advanced features tailored for active liquidity providers, the development team believes the v2 protocol offers a more “straightforward approach.”&nbsp; 
By default, <a href="https://www.newsbtc.com/news/uniswap/uniswap-unveils-new-security-feature-will-it-boost-uni-demand/" target="_blank" rel="noopener ">v2 pools</a> cover the entire price range, reducing the need for upfront decisions and minimizing the active involvement of liquidity providers. This simplification streamlines the process and makes it more accessible to a broader range of users, according to the announcement.&nbsp; 
Another benefit of using the v2 protocol on multiple chains, according to Uniswap Labs, is its cost efficiency. Creating pools on v2 is more gas efficient than other versions, resulting in lower gas costs to add liquidity.&nbsp; 
This cost reduction can be translated into savings for users, making swaps on the platform “incredibly affordable.” In addition, the use of v2 on <a href="https://www.newsbtc.com/analysis/uni/uni-price-prediction-uniswap-8/" target="_blank" rel="noopener ">Layer 2 </a>scaling solutions significantly reduces the risk of frontrunning and manipulative practices known as Miner Extractable Value (MEV).&nbsp; 
Ultimately, by offering an official v2 deployment directly accessible through the Uniswap interface, the developers suggest that users can be assured of a safe and secure environment for their swaps. 
<h2 id="uni-price-dip-platform-metrics-remain-solid">UNI Price Dip, Platform Metrics Remain Solid</h2> 
Despite the recent developments that could attract investors’ attention and drive broader adoption of the Uniswap protocol, the exchange’s native token, UNI, is currently undergoing a significant <a href="https://www.newsbtc.com/analysis/uni/uni-price-prediction-uniswap-to-7/" target="_blank" rel="noopener ">correction </a>in line with the overall market trend. 
Currently, UNI is trading at $7.22, representing a 4.4% price drop in the past 24 hours and a 1.1% decline in the last trading hour. However, it’s worth noting that UNI has been one of the better-performing tokens in the market, with price increases of 14.7% and 16.8% in the past fourteen and thirty days, respectively. 
<img loading="lazy" decoding="async" class="size-large" src="https://www.tradingview.com/x/lN3Aq4zY/" alt="Uniswap " width="1815" height="858"> 
Furthermore, according to <a href="https://tokenterminal.com/terminal/projects/uniswap" target="_blank" rel="noopener nofollow">data </a>from Token Terminal, the Uniswap ecosystem continues to exhibit substantial growth in key metrics.&nbsp; 
The fully diluted market capitalization of Uniswap stands at $7.56 billion, reflecting the total value of all tokens if they were fully in circulation. This figure has experienced a notable increase of 18.4% over the past month.&nbsp; 
In contrast, the circulating market capitalization, which considers the currently circulating tokens, is valued at $6.94 billion, indicating a 19.9% increase over the same period. 
<img loading="lazy" decoding="async" class="size-large wp-image-576251" src="https://www.newsbtc.com/wp-content/uploads/2024/02/Screenshot_68.jpg?w=652&amp;resize=652%2C343" alt="Uniswap " width="652" height="343" srcset="https://www.newsbtc.com/wp-content/uploads/2024/02/Screenshot_68.jpg?w=652&amp;resize=652%2C343 652w, https://www.newsbtc.com/wp-content/uploads/2024/02/Screenshot_68.jpg?w=460 460w" sizes="(max-width: 652px) 100vw, 652px" data-recalc-dims="1"> 
Despite the overall surge in market capitalization, the <a href="https://www.newsbtc.com/news/defi/trader-joe-gem-outperform-uniswap/" target="_blank" rel="noopener ">trading volume</a> of the UNI token has experienced a significant decline of 69.3% over the past 30 days, amounting to $2.79 billion.&nbsp; 
The total value locked (TVL), a measure of the value of assets locked within Uniswap’s smart contracts, has also experienced a 14.4% increase, reaching $4.76 billion.&nbsp; 
Featured image from Shutterstock, chart from TradingView.com&nbsp;

Uniswap Expands Reach: Deploys v2 Protocol On Six New Chains Including Arbitrum And Polygon

Table of Contents

NewsBTC

Other articles published on Feb 21, 2024

Jupiter Rolls Out Moongate & Sniper for DeFi and NFTs

Bitget Lists Autonolas (OLAS) Token to its Trading Platform

Bitcoin could rally towards $55k soon as Bitcoin Dogs presale crosses $3 million

SatoshiSwap.AI Launches The World's First DEX on Bitcoin (21 Feb)

Volatility hits PLANET token after Lionel Messi’s partnership for RWA

‘All in Bitcoin’ – Here’s what this exec’s vision of the future is

Join our free newsletter for daily crypto updates!