"Hayden Adams just had a week to remember. It started with Adams announcing a critical update to Uniswap, the decentralized protocol he created in 2018, and ended with him catching strays on social media from a would-be rival and a former staffer at the Securities and Exchange Commission. The uproar reflected Crypto Twitter's penchant for posturing and drama. But it also raised real questions about the meaning of decentralization-a word that serves as a crypto catechism but whose true meaning is maddeningly unclear."
"This is collected by liquidity providers, who receive the fees in return for acting as market makers and ensuring there is enough volume to trade. The new arrangement wouldn't change what users pay, but rather reallocate 0.05% of the existing fee for the purposes of burning Uniswap tokens. The idea is roughly like a share buyback in the corporate world, and so the price of Uniswap's cryptocurrency jumped when Adams and his team announced it."
Hayden Adams announced a Uniswap update to flip a fee switch that reallocates 0.05% of the existing 0.3% transaction fee to burn Uniswap tokens. Liquidity providers currently collect the 0.3% fee for providing market-making volume; the new arrangement leaves user costs unchanged while creating a token-burning mechanism similar to a corporate share buyback, which lifted Uniswap's cryptocurrency price. The proposal aims to align economic incentives and increase operational efficiency by folding the Uniswap Foundation into Labs, which oversees products like the website and wallet. The update provoked criticism from competitors and stirred social-media debate about the practical meaning of decentralization.
Read at Fortune Crypto
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