Uniswap DAO Approves Proposal for BNB Migration; What’s Next
Crypto News: Uniswap’s Decentralized Autonomous Organization, (DAO), has just completed the final vote to determine the method that will be used to deploy Uniswap v3 onto the BNB Chain. The portal that tallied votes for the referendum found that 66% of DAO delegates voted for the change. This was done on Friday.
Uniswap DAO Completes Vote
Votes in favor of this motion were cast by delegates with significant voting rights, such as ConsenSys (the company that develops Ethereum software) and Robert Leshner (the creator of Compound Finance). Andreessen Horowitz, a leading venture capital firm, cast a vote in opposition to the proposal, using a total 15 million votes.
This vote sparked a substantial discussion about the governance process for cross-chain application deployment. Many delegates, including bridge providers, opposed moving forward with Wormhole’s deployment as the only option for the “bridge provider”. A bridge provider is a technique that allows cryptographic tokens to be transmitted between supported networks. They demanded a solution that was independent from any bridge. Andreessen Horowitz argued that LayerZero should be chosen over Wormhole.
Read more: Check out the Top 10 DeFi Loan Platforms of 2023
What’s next for Uniswap
Plasma Labs will examine the possibility of Uniswap version 3 being deployed on the BNB Chain following the close of the vote. This execution could occur after the governance process has been completed. According to Plasma Labs’ proposal, Uniswap could aim to capture up to half of PancakeSwap’s market share. PancakeSwap, according to the BNB Chain is one of the most important decentralized Exchanges. According to DeFiLlama the platform currently manages a TVL valued at $2.4 billion.
According to crypto news, the imminence and deployment of BNB Chain by Uniswap is a matter that should not be ignored. This is because Uniswap’s commercial licence for its v3 version will expire on April 1. Other platforms will not be able to introduce similar protocols due to the licensing.
UniSwap Version 3 introduces the innovative idea of multiple pools for each pair, each pool charging an exchange fee. In the past, each pair of tokens corresponded only to one liquidity pool. The default swap fee was 0.3% of the cryptos being exchanged. Even though this strategy was successful in the past it is likely to be too low for pools trading in volatile coins and too high for pools trading in stable cryptocurrencies.
Also read: Are these tokens the future of crypto gaming in 2023?
About the author
The content presented may contain the author’s personal opinion and may not reflect current market conditions. Before investing in cryptocurrency, do your market research. The publication or the author are not responsible for any financial loss.