At the end of Q1 2024, Uniswap Foundation made a financial disclosure indicating its worth in both fiat money and cryptocurrencies. The figure shows that it has $41.41m in fiat, Cryptocurrencies, and stablecoins, while it also holds 730k UNI tokens valued at $11.43 per token.
This comes just in time as the exchange gets ready for a crucial vote that will establish a new system for collecting and dividing fees.
In Q1, the Foundation disbursed proceeds from grants approved totaling $2.79 million and made new commitments to grant-making amounting to $4.34 million. Normal cash and stablecoins are used for giving away grants or meeting operational expenses while UNI tokens are set aside for employee token awards.
The Uniswap Foundation, however, is initiating a voting process on whether to automatically capture and distribute fees for Uniswap v3 pools by May 31st of this year. This approval will cause control over mainnet UniswapV3Factory to move into a new V3FactoryOwner contract marking one significant action towards decentralizing governance on Uniswap.
Moreover, regardless of the recent claim by the United States Security Exchange Commission that unregistered broker-dealership activities have been taking place at Uniswap; this amendment would still transpire under these circumstances. However, before current laws, SEC could not regulate this firm since its unmanned protocol was thought to be beyond its jurisdiction according to Uniswap Labs.
Also Read: Uniswap Counters SEC’s Wells Notice, Defends DEX Operations
This vote coincides with a bill proposed in Congress called the Financial Innovation and Technology for the 21st Century Act which may influence the way SEC and CFTC oversee crypto business.
Until now, all fees generated on Uniswap were paid to liquidity providers. However, under the new suggestion, charges will be allocated among UNI token holders who stake or delegate their tokens to encourage active participation and true community engagement.
