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Uniswap to new highs as it hits 200M transactions

2min Read

While some holders were letting go of UNI, others contributed to the milestone amid diverging conditions.

Uniswap to new highs as it hits 200M transactions

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  • Unique transactions on the Uniswap protocol reached 200 million.
  • The number of UNI holders decreased but the TVL maintained its momentum.

The total number of transactions on Uniswap [UNI], one of the leading Automated Market Makers (AMM) surpassed the 200 million milestone, according to data from Dune Analytics. This landmark also shared by the Uniswap official Twitter page, means that the project has been able to attract a plethora of unique users who contributed to the cumulative trades.

How much are 1,10,100 UNIs worth today?

High trades, reducing participants

However, this significant achievement comes amidst a backdrop of declining holder count, raising questions about the factors driving transactional volume on the network. 

According to Santiment, UNI’s total number of holders fell from 370,000 on 28 May. And at press time, it was 354,000. The decrease in holder count suggests that faith in the long-term value of UNI could be waning. Hence, some holders deemed it fit to let go of some of the tokens.

At the same time, the decrease in the number of active holders could be linked to the token’s 30-day performance which yielded a 17% hike. So, dropping some UNI could mean holders made gains amid increased trading activity.

Concerning its sojourn with NFTs, on-chain data showed that Uniswap had lost a ton of its sales volume. At the time of writing, the NFT trade volume was down to $332,000. This suggests that interest in trading Uniswap-linked collectibles did not improve.

Uniswap number of holders and NFT volume

Source: Santiment

Less input for the partners

Despite the hike in transactions, Uniswap’s involvement in the DeFi sector has been unimpressive. At the time of writing, UNI deposits into the Compound protocol have been very low.

Also, UNI deposits into the Aave protocol were not any better. This implies that UNI users have probably been transacting on the DEX instead of providing decentralized Applications (dApps) with liquidity. 

Uniswap deposits into Compound and Aave

Source: Santiment

Futher insight into Uniswap’s DeFi engagement showed that the protocol’s Total Value Locked (TVL) has not necessarily increased in the last 30 days. At press time, the TVL was $4.10 billion.

Usually, the TVL indicates how stable a project is while assessing the financial backing and its health. 

Is your portfolio green? Check the Uniswap Profit Calculator

When the TVL increases, it means that a project is perceived to be more trustworthy. But when the metric falls, it implies that investors have doubts about making deposits into dApps linked to a project. 

So, Uniswap’s TVL suggests that trust in the protocol was relatively okay. DefiLlama also showed liquidity entering into Uniswap has substantially increased. As of 18 June, liquidity in the protocol was $27.04 million while at press time, it had increased to $38.91 million.

Uniswap TVL and liquidity

Source: DefiLlama


Victor Olanrewaju is a full-time journalist at AMBCrypto. Settled in Lagos, his fascination with blockchain technology and the cryptocurrency market arose out of his love of freedom and everything free. As a Nigerian, Victor understands the impact unfounded financial restrictions have on a population. He sees Bitcoin and cryptos as a way to circumvent these obstacles, as a tool for value creation despite all the setbacks. A graduate in Physics, Victor previously worked as a Senior Marketer at Melange Technologies. Before that, he dealt with crypto-marketers on a regular basis in his capacity as Copywriter at Ventrix Media. At AMBCrypto, Victor’s focus is on assessing the real effectiveness of both on-chain and off-chain developments on a project and its community sentiment.
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