Uniswap management is preparing to vote on a proposal that would enable protocol fees for the first time in select Uniswap v4 liquidity pools. Separately, a proposal plans to extend the fee mechanism implemented in Uniswap v2 and v3 to Robinhood Chain. The final on-chain voting process has begun for both proposals. Voting opens on Sunday and will continue until July 26th. Uniswap founder Hayden Adams said they expect the proposals to have a significant impact on the UNI burning mechanism, particularly highlighting the current trading volumes on Robinhood Chain. The Uniswap v4 proposal calls for enabling protocol fees in fixed-fee pools, pools created through perpetual swap auctions, and pools using aggregator hooks. The regulation will cover Ethereum, Arbitrum, Base, BNB Chain, Polygon, Optimism, and Robinhood Chain networks. According to the proposal text, a second vote will be held later for the remaining five networks. This is because Uniswap’s GovernorBravo governance agreement allows a maximum of 10 on-chain transactions in a single offer. A separate Robinhood Chain proposal by Hayden Adams aims to enable fees on Uniswap v2 and v3 pools on the network. All three protocol versions of Uniswap were made available with Robinhood Chain’s mainnet launch on July 1st. Related News: Analyst: “The Leverage Cleanup in XRP Is Complete; Conditions Are Similar to the Period When It Surged 8x” According to data included in the proposal, the total exchange volume of Uniswap applications on Robinhood Chain exceeded $6 billion as of July 10th. The Ethereum Layer 2 network, developed with Arbitrum infrastructure, recorded approximately $3.1 billion in decentralized exchange volume in its first week. It was noted that memecoins were predominantly traded in the initial transactions. The protocol fees collected under both proposals will be transferred to the UNI combustion mechanism, which was established by the UNIfication governance regulation approved with 99.9% support in December. With this governance change, protocol fees were enabled in the Uniswap v2 and v3 pools on the Ethereum mainnet, and 100 million UNI were burned in the Uniswap treasury. However, the implementation of v4 fees was postponed to a later proposal pending the completion of the necessary technical infrastructure. The fee mechanism has reportedly been expanded to 11 different networks to date. According to the Uniswap v4 proposal, the protocol set a daily record last month by burning 186,000 UNI in a single day. Enabling fees in Uniswap v4 requires a more complex infrastructure compared to previous versions. While v2 and v3 used fixed fee tiers, v4’s hook architecture allows pools to change their fees from block to block. The new proposal creates a management-controlled system that categorizes pools under specific “families” and calculates the fee for each pool according to predefined rules, rather than setting the fee individually. Both proposals utilize the accelerated governance process adopted under UNification. This process skips the request for comments phase and proceeds directly to on-chain voting after a five-day Snapshot voting period. Continue Reading: An Altcoin Is Heading to a Vote That Will Have Numerous Implications, Including a Token Burn
