The Uniswap team has been issuing teasers for its version 3 (v3) release, but no official launch date has been set.
Another teaser has emerged from the Uniswap Labs team depicting an animated video alluding to its version 3 launch.
The crypto Twittersphere is awash with commentary today following the tweet as the hype intensifies. Blockchain researcher Larry Cermak compared it to TRON CEO Justin Sun’s hype-building announcements.
“Justin Sun has literally nothing on v3’s announcements of announcements,”
What Can We Expect from v3?
The most highly anticipated improvement is Layer 2 scaling. This is because in its current state, Uniswap is too expensive for most smaller DeFi traders.
According to the Etherscan gas tracker, the average cost of a Uniswap swap is $42.72. This eliminates all but the whales and forces DeFi newbies to seek cheaper alternatives such as the Binance Smart Chain-based PancakeSwap.
Uniswap is likely to use Optimism for its L2 solutions which are based upon optimistic rollups. In essence, these rely on publishing the data on the blockchain and allowing a challenge period.
More yield farming incentives might be introduced to kick start the upgraded platform. Liquidity surged in September 2020 when Uniswap launched its UNI token and four ETH pools to farm it. The same is likely to happen if it repeats the incentives to coincide with the v3 launch. The DEX currently has a TVL of $5.2 billion according to DappRadar.
An airdrop could potentially accompany the launch. However, Uniswap has already done this and a lot of the tokens were prematurely sold on the market.
A major user interface overhaul is also likely. In its current state, the exchange is a bit clunky to use for the uninitiated. A vastly improved user experience will automate a lot of the things that currently have to be done manually.
A native Uniswap wallet may also be in the cards to alleviate the need to link to third-party ones.
UNI Price Update
UNI prices have climbed 3% on the day to reach $34.30 at the time of press. The DEX token is up 16% on the week and around 20% over the past 30 days. It’s currently very close to its all-time high of $35 reached on March 20.
Some analysts expect UNI prices to go even higher after v3 is released.