UNI Tokens: The Uniswap Foundation, a non-profit organization that promotes the expansion of Uniswap, revealed a financial overview for the second quarter. The breakdown shows a significant amount of cash and stablecoins but very few UNI tokens. According to the report issued on August 7, the Uniswap Foundation has a small reserve of 680,000 UNI tokens and $36.81 million in cash and stablecoins.
The UNI tokens will be used as employee incentives, while the cash and stablecoin reserves will be used for grant-making and operational purposes. Spending $26.12 million on awards and $10.69 million on operating expenses could keep the organization afloat until 2025.
Uniswap Approved Over $3.2M in Grants in Q2
The Uniswap Foundation approved more than $3.2 million in new grants and distributed over $2.5 million during Q2. As the business just revealed, Panoptic will use the $379,000 funding to develop the gRHO platform, a v4 Liquidity Interface.
Unit Zero Labs and Anthias Labs will receive $512,000 from the company to fund research into the Uniswap ecosystem and the larger DeFi environment through the Uniswap Community Research Program. With $5.27 million already dispersed, the total promised grants for the year reached $7.55 million by June 30.
The foundation’s operating expenses for the quarter totaled $1.6 million. Of that total, 8.2% went into advertising and marketing, 47.9% toward payroll, and 35.2% toward professional fees.
Sharing its financials for the second quarter, the Uniswap Foundation demonstrated its dedication to openness. They currently have $36.81 million in liquid assets and stablecoins. Grants will receive $26.12 million out of the total. This comprises $22.46 million for…” In 2024, on August 7, BSCN tweeted.
Community Rejects Proposal to Distribute Revenue to UNI Holders
The Uniswap community voted down a governance proposal earlier this year that would have altered the platform’s fee mechanism. The proposal would have made it possible to distribute income to holders of UNI tokens. A much-anticipated Uniswap “fee-switch” was to have been activated by the decentralized autonomous organization (DAO) with the power to alter the fee mechanism, but this plan was rejected.
Protocol income may have been distributed to UNI token holders through this process. Just two days before this one was rejected, another proposal to allow the collection of protocol money had passed with nearly universal support.
Since Uniswap began rewarding early users with the UNI token in 2020, activating a fee switch is one of their primary objectives. The most recent fee flip proposal was co-authored by GFX Labs, a DeFi-focused R&D company that presented a comparable concept last year.
According to the proposal, token holders should receive 10% or 20% of Uniswap’s revenue from pool fees. On the other hand, 45.3% of voters were against the prior proposal, while 42.3% favored a 20% fee distribution and 12.3% favored a 10% fee distribution.
To help with cryptocurrency transactions, Uniswap released a browser plugin in February that included a limit order placing mechanism and other capabilities. The Uniswap Extension simplifies digital asset swaps, transaction signing, and trading and offers a new way to engage with digital assets straight from a browser sidebar. A new Limit Orders function, available with the update, lets users set automated purchase and sell prices for cryptocurrencies.
