On May 17, the Brookly-based decentralized crypto exchange Uniswap revealed plans to go live on the Polkadot multichain network Moonbeam. During an interactive session hosted by Blockchain at Michigan, the community voted for launching Uniswap on the Polkadot network.
The completed Blockchain program aims to equip future leaders in crypto with the relevant skills and knowledge. According to data captured on the Uniswap proposal, the member present supported the idea with no objection.
Uniswap to Go Live on Polkadot Network
Initially, the Uniswap team collaborated with Astar Network and Acala Network to launch its unique para chain on the Polkadot network, Moonbeam. The integration of Uniswap V3 on the Polkadot platform aims at bolstering the transaction’s scalability, security, and speed.
The para-chain technology is linked to the blockchain ecosystem to support Polkadot to enhance network security. Also, thePolkadot para chain is commonly used to block transactions from competing with other smart contracts.
A report from the Uniswap spokesperson dated May 17 revealed that the crypto exchange plans to restructure the UNI to bluechip to remain ahead of the curve in decentralized finance (DeFi) innovation.
He stated that the quest to deploy Uniswap on the Polkadot platform had compelled the firm to explore ways to ease the integration process. The spokesperson argued that the suitability of the Polkadot network motivated the Moonbeam team to submit their proposals in 2022. In their submission, Moonbeam requested the Polkadot network to launch the Uniswap smart contract V3 on its para chain.
Will the Deployment of Uniswap on Polkadot Boost Transaction Speed?
After the review of Moonbeam’s proposal, the Polkadot team supported the idea. They lauded the explicit moves made by Moonbeam to support Polkadot. As of this writing, the Polkadot network has the largest DeFi activity and a unique architecture of the para chain that provides a friendly environment for Ethereum Virtual Machine (EVM).
He added that the EVM features on the Polkadot enable the developers to integrate additional features more seamlessly. Besides the Polkadot multichain network, the platform has a unique layer zero protocol supporting different para chains.
The Uniswap platform allows customers to own a measurable amount of digital assets which can be traded on the decentralized exchange (DEXs) without involving intermediaries such as banks. On the contrary, centralized exchanges (CEXs) such as Binance and Coinbase limit customers’ freedom to control their assets due to third-party involvement.
Comparison of CEXs and DEXs
The limitation adopted by CEXs aims at creating a friendly environment for the users to trade their digital assets compared to the DEXs platform. In 2022 the community questioned the security of the decentralized exchange following the fallout of the Bahamian crypto exchange FTX.
The crypto community expressed mixed thoughts concerning the security protocol on the decentralized platform compared to those in the traditional exchanges. According to CCData, the monthly volume generated by the DEXs platform in 2022 Q2 surged by 27.6% from 2021.
The analyst from CCData observed that the Uniswap V3 platform yielded the highest trading volume in 2022. Uniswap’s average monthly market share over the DEXs volume was reported to increase by 50.3%.
The Uniswap implicit move mirrors the deployment of the V3 iteration on the Polkadot network by the DEX platform in April.The DEX’s latest upgrade aimed to provide the user endless benefits, including improved capital efficiency, flexible fee structure, and customer experience.
Uniswap Market Outlook
Besides launching on Polkadot para chain, Uniswap released a new version of the BNB chain in March. Later the upgraded version of the BNB chain was integrated into Polygon zkEVM to support in increasing the number of clientele.
According to CoinMarketCap, the Uniswap DEX platform ranks among the largest decentralized exchange with a trading volume of $62,072,966, a 79.20% increase in the last 24 hours. Uniswap market capitalization increased by 4.37% to reach $3,096,476,814 over the last 24 hours.
Futhermore, the Uniswap native token UNI is exchanging hands at $5.36, a 4.37% increase in a day.