Uniswap Volume on the Rise, Over $113M Traded in 24 Hours

Uniswap volume rise as the leading Ethereum based DEX is not ceasing as it sees over $113M traded within the last 24 hours

By · Jul 31, 2020 . 5min read

Uniswap logo picture

Uniswap volume rise as the leading Ethereum based DEX is not stopping as it sees over $113M traded within the last 24 hours.

This growth since after April’s dip, possibly due to COVID issues continues to rise. Uniswap is a protocol on Ethereum for swapping ERC20 tokens. An innovative solution, unlike its predecessors. Uniswap allows this exchange of ERC20 tokens to happen without charging fees. Also, unlike most exchanges, which match buyers and sellers to determine prices and execute trades, Uniswap uses a simple math equation and pools of tokens and ETH to do the same job.

Data from Dune Analytics shows its market share within 24 hours at 42.1%. This is an impressive track record especially as it is less than two years since Hayden Adams founded it.

Uniswap users easily facilitate token swaps on the platform as it possesses a Shapeshift-like interface. This is usually lacking in most DEX platforms. It is perhaps the reason traders who don’t care much about controlling custody of their asset prefer centralized platforms. And since this preference means high liquidity centralized exchanges, decentralized exchanges suffer in liquidity.

Uniswap volume rise propelled July DEX volume to an ATH

But 2020 continues to show a different pattern. This explosive growth, especially when you compare with the previous year, could perhaps be attributed to Uniswap’s ease of use.

Monthly DEX volume compared with 2019. Uniswap Volume rise contributes to 2020 growth

The chart above shows a volume of over $4 billion in July. For context, all throughout 2019 didn’t see up to $1.5 billion in DEX volume.

Of this monthly volume, Uniswap saw over $1.6 billion in volume for July.

Over $4 billion traded on DEX in July. Uniswap Volume rise contributes to growth

In fact, a Twitter user tweeted about how striking yesterday’s volume is especially when compared with other exchanges.

Unique active traders on Uniswap also continues to rise. Uniswap ranks top three after Kyber Network and IDEX. Both were of course established before Uniswap. While IDEX was created in 2016, Kyber was founded in 2017.

Uniswap ranks among top 3 DEX with unique active users. Uniswap Volume rise contributes to this growth

Consequently, Uniswap’s volume rise also means a rise in gas cost spending. With total July volume around $1.6 billion, Uniswap protocol ranks top 3 in gas spending as data from Ethgasstation shows.

With an almost scary growth record in the DeFi sector, Uniswap may be breaking its ATH record for July in the coming months.

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