Cointime

Download App
iOS & Android

Uniswap Proposes Voluntary Staking Mechanism to Incentivize Community Engagement and Align Interests with Ecosystem Growth

Uniswap has proposed a plan to introduce fees for Uniswap pools and establish a system for claiming earned fees. The proposal suggests implementing a protocol fee equal to 1/5 of the pool fee across all Uniswap v3 pools. The fees will be sold for an asset chosen by the UNI community, and the initial deployment of this system is planned for Uniswap v3 on the Polygon network. Proposed solutions include implementing the fee switch gradually, accumulating revenue to the Uniswap treasury, and implementing voluntary staking modules to incentivize participation and provide yield to UNI token holders.

Uniswap has proposed a voluntary staking mechanism for UNI token holders to earn rewards without mandatory staking. The rewards can be distributed in the form of stables or other assets like stETH. The proposal aims to incentivize participation through voluntary staking, fostering a sense of community engagement and providing yield to UNI token holders. The gradual implementation of this fee switch model will allow the DAO to monitor and analyze the impact of fee switch on liquidity, market-share, LP behavior, and adjustments can be made along the way. More information on the proposal can be found at the provided link.

Comments

All Comments

Recommended for you