UNI Token
UNI Token Key Points
- UNI is the native governance token for Uniswap, a decentralized trading protocol on the Ethereum network.
- It was launched in September 2020 as a way to facilitate community-led decision making for the Uniswap protocol.
- UNI tokens can be earned through liquidity mining, purchased on various exchanges, or received as an airdrop for early Uniswap users.
- UNI holders can use their tokens to vote on proposed changes to the Uniswap protocol.
UNI Token Definition
The UNI token is the governance token for the Uniswap protocol, one of the most popular decentralized exchanges on the Ethereum blockchain. This token allows holders to participate in the decision-making process for the Uniswap platform, including changes to the protocol and treasury management.
What is the UNI Token?
The UNI token is an ERC-20 token that was developed and launched by Uniswap in September 2020. It serves as a governance token, allowing holders to propose and vote on changes to the Uniswap protocol.
Unlike many other tokens, UNI was not sold in an initial coin offering (ICO). Instead, it was distributed to the community, with 60% of the total supply allocated to Uniswap users.
Who Created the UNI Token?
The UNI token was created by Uniswap, a decentralized exchange (DEX) built on the Ethereum blockchain. Uniswap was developed by Hayden Adams, who was inspired by an Ethereum whitepaper and mentored by Ethereum creator Vitalik Buterin.
When and Where Was the UNI Token Launched?
The UNI token was launched in September 2020. As an ERC-20 token, it operates on the Ethereum blockchain and can be stored in any wallet that supports Ethereum-based tokens.
UNI tokens can be traded on various cryptocurrency exchanges, including Uniswap itself, and can be obtained by providing liquidity to Uniswap’s liquidity pools.
Why Was the UNI Token Created?
The UNI token was created to decentralize the governance of the Uniswap protocol. Prior to the creation of the UNI token, decisions about the protocol were made by its core developers.
With the introduction of the UNI token, token holders are now able to propose and vote on changes to the protocol, making Uniswap a community-governed protocol.
How Does the UNI Token Work?
UNI tokens work by enabling holders to participate in the governance of Uniswap. Token holders can propose changes to the protocol, and these proposals are then voted on by other token holders.
The number of votes a user has is proportional to the number of UNI tokens they hold. For a proposal to be successful, it must receive a minimum amount of votes from the community.