WHAT IS UNISWAP GOVERNANCE TOKEN (UNI)?
DeFi leader Uniswap, has stepped it up with a governance token of their own – UNI. As expected of such a behemoth of a platform, they have big aspirations. Aspirations that are well encapsulated by the one billion coins stocked for release over the next four years.
To Uniswap, this is a chance to reward their community members, investors, present/future employees, and advisers with a planned token allocation of 60%, 17.8%, 21.51%, and 0.69%, respectively. In doing so, they follow the recent trend of protocol teams dishing out governance rights in exchange for the much-desired liquidity.
Since its launch, the UNI has not been immune to the market cap’s price volatility. Within 48 hours, the UNI token price soared as high as $8.00 as Uniswap users grabbed their share of airdropped tokens, in the following days it settled around $4.00.
However, it’s still early days for this new token, and the attractive $4.00 current market price per token has catalyzed widespread belief that this token can end up becoming DeFi’s next golden project.
The four-year vesting cycle is adjudged to be worth around $600 million in potential yields for the 17.8% (178 million tokens of UNI) to be shared to the investors.