Uniswap exceeds $1 trillion in volume, but only 3.9 million addresses have used it

Uniswap exceeds  trillion in volume, but only 3.9 million addresses have used it

Decentralized exchange (DEX) Uniswap has surpassed $1 trillion in total trading volume since launching on Ethereum in late 2018.

That’s coming from a relatively small user base, indicating there’s a lot of potential growth to come. According to data from Uniswap Labs, which are the main contributors to the development of the protocol and the ecosystem, the number of cumulative DEX addresses reached around 3.9 million this month after just over three years.

The data was released on Twitter on Tuesday, with the Uniswap Labs team noting that: “Over the past three years, the protocol has onboarded millions of users into the world of decentralized finance (DeFi), introduced fair and permissionless trading, and lowered the barrier of liquidity provision.”

Uniswap currently supports Ethereum and Polygon, Optimism and Arbitrum layer 2 scaling solutions. Uniswap Labs also revealed earlier this month that the DEX will expand to two Ethereum Virtual Machine (EVM)-compatible chains on Gnosis Chain, and the Polkadot Moonbeam Network-based para-chain.

In terms of trading volume, Uniswap is far ahead of its competition in the DEX market. CoinGecko data shows that Uniswap’s v3 protocol generated a volume of USD 938 million in the last 24 hours, which represents 33% of the total market share.

Compared, PancakeSwap (v2), based on Binance Smart Chain, is in second place with $491 million and 17.3% market share.

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If Uniswaps’ 24 data is compared to that of centralized exchanges (CEX), its volume of $938 million puts it far behind platforms like Binance, FTX and Coinbase, which generated $12.2 billion, $1.95 billion and $1.79 billion. million, respectively.

However, the DEX is far ahead of some big players in the crypto sector, such as Crypto.com and Kraken, who generated $724.9 million and $597.4 million each.

Uniswap has also amassed some $5.93 billion total value locked (TVL), the fifth largest sum in the DeFi sector, according to DefiLlama, while PancakeSwap is in seventh place with USD 4.27 billion TVL. MakerDAO represents the largest platform, with $9.82 billion TVL.

Despite Uniswap’s ability to attract strong demand and liquidity, it has not done much to influence the price of its native Uniswap (UNI) asset in 2022. Since the beginning of January, UNI has fallen by around 67% to stand at $5.59 at the time of writing.

UNI’s all-time high of $44.92 also occurred in early May 2021, and it is down 87.5% since then.

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