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Uniswap's 'UNIfication' Plan Would Switch On Protocol Fees, Burn UNI and Unite Governance

The joint proposal channels trading plus Unichain fees into a perpetual burn with a 100 million‑UNI retroactive cut, pending a DAO vote.

Overview

  • Protocol fees would be activated for the first time, with a share of trading and Unichain revenues routed to an ongoing UNI burn mechanism.
  • A one-time burn of about 100 million UNI from the treasury is proposed as a retroactive adjustment tied to fees that might have been burned since 2020.
  • Governance and operations would be consolidated under a unified structure overseen by a five‑member board, while Uniswap Labs sets interface, wallet and API fees to zero.
  • New market features include Protocol Fee Discount Auctions to internalize MEV and planned v4 “aggregator hooks” to collect fees from external liquidity sources.
  • An annual 20 million UNI growth budget would begin in 2026, and UNI jumped more than 40% in the past day following the announcement, according to CoinGecko.