Uniswap (UNI) has become the first decentralized exchange platform to generate more than $ 100 billion in volume. In just over 2 years, Uniswap’s daily volume is approaching that of centralized platforms like Bitfinex and Kraken
New symbolic step for Uniswap (UNI)
A pioneer in decentralized finance (DeFi), the Crypto Genius exchange platform has just crossed the threshold of $ 100 billion in cumulative volume. Protocol founder Hayden Adams announced on Twitter:
“Uniswap has just become the first decentralized trading platform to handle over $ 100 billion in volume – a milestone for DeFi. “
Created in 2018, Uniswap took two years to experience a real explosion in its activity, in particular thanks to the start of the craze for decentralized finance. As we can see from the chart above, the platform’s volumes really increased in mid-2020, before starting to steadily rise until today.
Since May 2020, Uniswap has recorded an average volume of $ 11 billion monthly. In addition, this new step for Uniswap comes only 3 months after the platform reached $ 50 billion in cumulative volume.
Over the past 24 hours, Uniswap has processed nearly $ 1.2 billion in transactions, according to CoinGecko . This allows DEX to follow centralized platforms like Bitfinex ($ 1.3 billion) and Kraken ($ 1.7 billion).
The battle for DeFi rages on
Although Uniswap retains its leadership position in decentralized trading platforms, intense competition is raging at the moment. The main competitor of Uniswap, SushiSwap continues to attract new users and its trade volumes are also increasing.
During the month of January, Uniswap’s markets generated more than $ 26 billion in volume , while $ 12 billion passed through SushiSwap . Although Uniswap still has a head start to preserve its number one place, SushiSwap is gaining momentum and is not likely to stop.
Volumes of the DEX
And the battle is raging in parallel with Ethereum as well. Uniswap now faces a major new competition: Binance Smart Chain (BSC) -based protocols . Much less costly and faster, the BSC is attracting more and more users, who are beginning to abandon Ethereum-based protocols such as Uniswap.
Transaction costs on Ethereum network are sky high – sometimes more than $ 200 – and unusable make protocols DeFi when the network is congested . This is why platforms like PancakeSwap are starting to do well, and could quickly catch up with the volumes of platforms like Uniswap if this trend continues.
Anyway, Uniswap remains a pillar of decentralized finance on Ethereum and has allowed many traders to discover this universe. Even if Uniswap should lose its number one place, it will remain one of the initiators of this still very young sector.