Uniswap's UNI soars 60% ─ with proposal to reward token holders | CoinDesk JAPAN

• Uniswap's governance token, UNI, rose 60% following a proposal by key leaders at the Uniswap Foundation to overhaul the protocol's decision-making.
• The proposal would distribute protocol fees among holders who stake and delegate UNI to stimulate protocol decision-making.

Uniswap (UNI), the governance token of the decentralized exchange Uniswap, announced on the 23rd that it has fully revised its protocol's governance system, as submitted by Erin Koen, head of governance at the Uniswap Foundation. The stock price soared 60% in response to a proposal to revise the stock.

The proposal aims to “strengthen and revitalize” Uniswap's governance and would also reward holders for staking and delegating UNI.

“I believe the protocol needs to be upgraded to reward UNI holders who stake and delegate their tokens through a fee mechanism,” Cohen wrote in a post on expressed.

Cohen's proposal is a significant development for Uniswap, the largest decentralized exchange by trading volume, and would build on last year's efforts to reward token holders with fees it has not yet collected. Last June, the Uniswap community rejected a proposal to impose fees on many of Uniswap's liquidity pools and distribute a portion of the proceeds to token holders. In October, Uniswap began charging a 0.15% fee on swaps for crypto assets, including tokens such as Ethereum (ETH) and USD Coin (USDC), initiated on the protocol's interface.

If approved by a community vote on the 23rd, the proposed overhaul will allow for the collection of permissionless, programmatic protocol fees, which will be distributed pro-rata to UNI token holders who have staked and delegated them. It turns out.

UNI is trading at $12 at the time of writing, rising nearly 60% in the past 24 hours to its highest price since April 2022. The CoinDesk 20, which measures the performance of Bitcoin (BTC) and the top crypto assets by volume, has significantly outperformed the mostly flat price movement.

｜Translation and editing: Rinan Hayashi
｜Image: CoinDesk
｜Original text: Uniswap's UNI Jumps 60% on Proposal to Reward Token Holders in Major Governance Overhaul