Uniswap Unveils Unichain: Faster, Cheaper DeFi

Uniswap, a leading decentralized exchange (DEX) platform, has launched Unichain, a Layer-2 network built on Optimism’s OP Stack. The network promises faster transactions and lower gas fees, aiming to address two main challenges in the decentralized finance (DeFi) ecosystem. Unichain completed extensive testing, processing over 95 million transactions and deploying 14.7 million smart contracts.

Unichain is designed to reduce gas fees by 95% compared to Ethereum’s mainnet while delivering one-second block times. Hayden Adams, founder and CEO of Uniswap Labs, emphasized the network’s focus on decentralization, stating, “We’re here to make DeFi faster, cheaper, more decentralized, which is why we launched Unichain to be permissionless from day one.”

The network’s revenue structure divides earnings among several stakeholders. The Unichain Validation Network, responsible for securing the blockchain, will receive 65% of net revenue. Uniswap Labs will retain 20% of the revenue, while the Optimism Collective will receive 2.5% of gross revenue or 15% of net revenue, whichever is greater.

Several major protocols, including Circle, Coinbase, Lido, and Morpho, have already begun building on Unichain. This early adoption suggests growing interest in the platform’s capabilities among established players in the cryptocurrency industry.

Unichain incorporates a Trusted Execution Environment (TEE), developed in collaboration with Flashbots. This secure area enables more sensitive transactions and is designed to optimize the chain for DeFi operations, allowing for advanced trades and faster transaction completion.

The launch comes as part of Uniswap’s broader strategy to enhance its decentralized exchange ecosystem. The move follows the recent release of Uniswap v4, which introduced customizable features such as hooks for adjusting liquidity pools and fees.

The market response to Unichain’s launch showed cautious optimism. The UNI token experienced a 6% price increase following the announcement, though it later underwent a correction, mirroring the pattern seen after previous platform updates.

Unichain enters the market as a “stage-1” rollup, maintaining some centralized safeguards while incorporating decentralized elements. This approach allows for careful monitoring and adjustment during the network’s early phases. The network joins a growing ecosystem of Layer