Uniswap (UNI) is a token and a means of governance on an Ethereum-based decentralized exchange that allows anyone to trade their ERC-20 tokens. The platform was created to address the liquidity problem that the conventional cryptocurrency exchanges face. On Uniswap, users don’t need things that the exchange usually requires for transactions like registration or identity verification.
At the inception of UNI, 15% of all tokens were distributed free of charge to all users of the platform, including those who have not used Uniswap for a long time. The minimum amount of coins was 400 UNI. Such an impressive distribution instantly attracted the attention of a huge audience and resulted in a significant boost in its price. Currently, those who possess a number of UNI tokens can get a hold of the benefits like UNI community treasury, the protocol fee switch, uniswap.eth ENS name, Uniswap Default List (tokens.uniswap.eth), as well as SOCKS liquidity tokens.
Pros and Cons of Uniswap
Advantages of Uniswap
The ecosystem native to UNI is not only an exchange but rather a platform for solving liquidity problems. It eliminates the issues which troubled the first decentralized exchanges. The success of the platform is further observed in the recognition of its token. The number of places where UNI is traded is equal to its popularity, so it reflects people’s interest in it. It is currently placed as the 27th most popular cryptocurrency on CoinMarketCap. The website also indicates that there’s a profitable return on investment in UNI. All in all, Uniswap fully deserves the praise it’s currently getting.
Disadvantages of Uniswap
UNI is very new to the game so some time should pass for the public to fully judge all the pros and cons of UNI. The developers also claim the token to be community-driven but the people only own 60 percent which is just a bit more than half of the tokens, all the rest belonging to investors, developers, and advisors. They all can manipulate the price of the token and influence the course where it’s going. So the future of UNI depends on what measures will further be implemented. Since you can add any coin to Uniswap, there are many scammers and fake coins on the exchange. Users may associate UNI with the scams and be hesitant to buy or trade it. Uniswap also has rivals like SushiSwap to compete with.
How to buy UNI on SwapSpace
1. Choose a pair and select the best rate
To buy UNI with Ethereum, select ETH on “You send” and UNI in the “You get” sections on the SwapSpace homepage. Pick them from the drop-down menus. Enter the amount of you want to exchange. Press “View offers” and then pick up the crypto exchange service with the rates which meet your requirements.
2. Enter the recipient address
Provide your UNI wallet address. Check the address carefully before pressing the button. Don’t have a wallet yet? Our support will recommend a good one!
3. Transfer funds
Send the exact amount of ETH to the address provided and receive UNI in your wallet within minutes.
4. Wait for the exchange to be processed
You will get UNI in your wallet in a few minutes! The exact time is a subject of various parameters: blockchain network workload, transaction time, processing speed, etc. Concerned about your transaction? Check the swap tracker or contact the support: [email protected].
Originally published at https://swapspace.co.
What is Uniswap? was originally published in The Capital on Medium, where people are continuing the conversation by highlighting and responding to this story.