Uniswap has generated $3 billion in trading fees, but holders of DEX governance tokens should not expect their price to rise to fair values. This conclusion was made by K33 Research analyst Anders Helseth.
Data: X.
The specialist estimated the fully diluted market capitalization (Fully Diluted Valuation) of the project at $6.4 billion.
Uniswap charges 0.3% for every completed DEX transaction that goes to liquidity providers.
UNI’s main value proposition is to get a share of these commissions going forward. The expert doubted that in the future the owners of tokens will be able to count on it.
The ratio can be changed in favor of UNI holders through voting. A large share of assets is at the disposal of large investors who are not interested in changing tokenomics. The offer is fixed and a majority vote will be required to issue more UNIs.
Helseth noted that:
users always choose the protocol with the highest liquidity at the best prices; copies of the protocol can be created without problems and at little cost.
In his opinion, these two theses mean that liquidity providers are gaining the upper hand in the fight for trading fees. They store assets while the protocol can be freely “copied” through forks.
Switching users to an alternative is not without cost, but its relatively low cost keeps liquidity providers at an advantage.
“In other words, there is virtually no potential for UNI to earn significant trading fees,” the expert concluded.
Recall that in July 2023, Uniswap Labs introduced UniswapX, an open-source liquidity aggregation protocol from decentralized exchanges.
Previously, Glassnode analysts found increased user interest in Uniswap on the Arbitrum network. An analogue of the platform in the L2 solution concentrated 16.2% of the weekly total turnover. In March, the figure was twice as high (32.8%).
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2023-08-03 11:09:39
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