Uniswap (UNI) Value Skyrockets 22% After New Protocol Proposition

Key Points

• Uniswap (UNI) price rose on November 11, following a new proposal by CEO Hayden Adams.
• The proposal includes measures to stimulate protocol growth and adoption, and drive value for the community.

Uniswap’s (UNI) value increased on November 11, subsequent to the latest proposal announced by Hayden Adams, the project’s CEO.

UNI’s 24-Hour Price Action

At the time of writing, UNI is trading at $8.2, a 22% increase in the last 24 hours. It has a market cap exceeding $5.23 billion, after previously reaching $6.32 billion.

UNI’s price started to surge from about $7 on November 10.

Announcement of the UNIfication Proposal

Uniswap Labs published a post, revealing a proposal for the project’s next phase.

Hayden Adams, Uniswap’s CEO, released his first proposal to the Uniswap governance on behalf of Uniswap, in conjunction with Uniswap Foundation’s executive director, Devina Walsh, and Kenneth Ng.

The proposal focuses on protocol fees and aligning incentives across the Uniswap ecosystem, among other things.

Adams, in his message, detailed how Uniswap has been his sole passion for the past 8 years. He highlighted that Uniswap started as a small side project and has become a global financial infrastructure powering thousands of apps with over $1.8 trillion in annual trading.

The UNI token was launched in 2020. However, Uniswap Labs has not been able to contribute significantly to the project’s governance and was limited in terms of value-building for the community over the past five years.

This limitation was due to a challenging regulatory environment, which has now changed.

Adams clarified that this proposal stems from a desire to see Uniswap protocol succeed as the global DEX for tokenized value.

Main Proposal Points

The proposal contains several key points, including: activating protocol fees and using them to burn UNI tokens, sending Unichain sequencer fees to the UNI burn, and burning 100 million UNI from the treasury.

It also introduces protocol fee discount auctions to enhance LP outcomes and add MEV protection to the protocol, and aggregator hooks that will transform Uniswap v4 into an onchain aggregator that collects protocol fees on external liquidity sources.

Furthermore, it aims to drive protocol growth and adoption, eliminate the fees collected by Uniswap Labs on its interface, wallet and API, and move Foundation employees to Labs with the goal of accelerating protocol growth.

The proposal also plans to move governance-owned Unisocks liquidity to v4 on Unichain and burn the LP position.

This proposal is designed to pave the way for the project’s growth over the next decade.