Uniswap v4 Goes Live: A Game-Changer for DeFi and L2 Scaling

Uniswap v4 Goes Live on Multiple Platforms: Know Why it's Better than

Uniswap has officially launched Uniswap V4, the most advanced version of its decentralized exchange (DEX) protocol, which is accessible to a wide range of DeFi users. It was built in collaboration with hundreds of developers and community members. 

In Uniswap v4, one of the biggest innovations is hooks, which are smart contract plugins that allow developers to customize how liquidity pools, swaps, fees, and positions work. Introducing significant enhancements to decentralized finance (DeFi) on Ethereum and its Layer 2 (L2) scaling solutions.

UNI V4 is Available across Multiple Platforms 

Uniswap Lab shared an X post to introduce its latest version Uniswap version 4 and also shared that it is available across multiple platforms including Ethereum, Polygon, Arbitrum, OP Mainnet, Base, BNB Chain, Blast, World Chain, Avalanche, and Zora Network, marking a significant milestone in the evolution of decentralized finance (DeFi). 

By enabling more efficient liquidity management and reducing transaction costs, the upgrade enhances the user experience for both traders and liquidity providers. As the DeFi ecosystem continues to grow, Uniswap v4's multi-platform expansion paves the way for greater accessibility, innovation, and scalability in decentralized exchanges.

Uniswap Version 4: Prioritizing Transparency and Security

Uniswap v4 sets a new benchmark for transparency and security in decentralized finance. The Uniswap crypto exchange team has assured that v4 is one of the most thoroughly audited codebases ever deployed on-chain.

To ensure its security, the protocol underwent nine independent audits and a $2.35 million security competition with over 500 participants. The largest bug bounty program was also conducted to safeguard the protocol’s integrity. Remarkably, no critical vulnerabilities were discovered in the competition or the bug bounty program.

Difference Between Uniswap V3 and V4: What’s Changed?

Uniswap v4 introduces several significant upgrades over v3, enhancing efficiency, flexibility, and scalability. One of the most notable changes is the introduction of "hooks," which allow developers to customize liquidity pool behavior, dynamic fees, and automated rebalancing. Additionally, v4 reduces gas fees by consolidating multiple smart contracts into a single contract, improving transaction efficiency. 

V3 requires multiple liquidity pools for different fee tiers, and v4 allows for native support of custom pools, making it more adaptable to diverse trading strategies. Furthermore, Uniswap v4 is designed with Layer 2 (L2) scalability in mind. These improvements position v4 as a more cost-effective and developer-friendly platform. While maintaining the core principles of decentralization and permissionless trading.

UNI Trade in Red Despite Uniswap V4 Launch

Despite the launch of Uniswap v4, Uniswap Price remains in a negative zone, trading at $11.70 after a 1.12% decline in the past 24 hours. The token has dropped 5.01% over the past week and 15.76% over the last month. UNI’s market cap stands at $7.02 billion, while its 24-hour trading volume is $334.16 million.