Uniswap Foundation is sharing its financial details as it prepares for a community vote on Uniswap’s fee model while also gearing up for a legal battle with the SEC over the regulatory status of Uniswap’s tokens:
The upcoming community vote will determine if some rewards will be shifted away from Uniswap’s liquidity providers and towards UNI token holders instead. Prior polls indicate the community is likely to approve this change.
The Uniswap Foundation is also preparing to fight the U.S. Securities and Exchange Commission (SEC), which recently issued the foundation a Wells notice alleging that Uniswap’s UNI and LP tokens violate securities laws. The foundation disputes the SEC’s claims and argues it does not have jurisdiction over Uniswap.
Chart of the Week
Solana validators approved a proposal known as SIMD-0096 that allocates 100% of priority fees to the validators. Prior to this change, priority fees on Solana – optional fees users pay to prioritise their transactions – were split evenly, with 50% going to validators as rewards and 50% being burned to help control SOL’s annual inflation rate of 1.5% in the long-term. Currently, the inflation rate of SOL is around 4.3%.
This move is seen as beneficial to validators, as they will receive a larger share of the revenue. However, it also means there will be less deflationary pressure on SOL. Solana co-founder Anatoly Yakovenko addressed concerns about the change to priority fee allocation. He stated that the current system required users to pay double the priority fee, which goes entirely to validators and is not burned. He described the priority fee burn as a ‘bug’ in the system.
The Ethereum Foundation is set to introduce a formal conflict of interest policy after community backlash over two prominent researchers from the Foundation having advisory roles and token allocations from the EigenLayer project.
Friend.tech‘s co-founder known as ‘Racer’ publicly expressed a desire to migrate the project off of the Base network. The price of Friend.tech‘s token (FRIEND) fell sharply, dropping over 20% after the post.
Maple Finance, an uncollateralised lending protocol for institutional players, has launched a new DeFi protocol called Syrup that allows users to permissionlessly lend USDC to institutions. With Syrup, users can earn yield by depositing USDC and receiving liquidity provider tokens (syrupUSDC) in return. The USDC deposited is then used to fund secured loans to major institutions in crypto.
Starknet, an L2 blockchain, developed a zero-knowledge Ethereum Virtual Machine (zkEVM) called Kakarot. Kakarot will allow Starknet to become EVM-compatible, enabling developers to use Solidity to build on the Starknet network.
Lending protocol AAVEplanned to launch its own blockchain network after the completion of Aave’s V4 upgrade. The V4 upgrade for Aave is currently in development, and the launch of the new Aave blockchain could happen as early as next year.
The Ethereum Name Service (ENS) is planning to migrate to a Layer 2 network as part of an update called ENSv2. This aims to lower gas fees and improve transaction speeds compared to operating on the Ethereum mainnet. The proposed ENSv2 will introduce a hierarchical registry system for managing .eth domain names, allowing name holders to manage subdomains and configure resolvers.
Tokenisation of RWAs & Yield-Bearing Stablecoins: RWA tokenisation signifies a bridge between TradFi and the digital asset space. We explore the tokenisation of securities and its application in yield-bearing stablecoins, which have both gained much attention recently.
10 Most Popular Layer-1 Tokens of 2024: L1 blockchains form the backbone of the cryptocurrency space. Here’s an overview of the most important L1 crypto tokens to know in 2024.
What Is the Theta Crypto Token and How Does It Work?: Theta Network has drawn big tech into the crypto space, with partnerships including Google, Samsung, and Sony. Here’s how the Theta crypto token (THETA) works.
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DeFi & L1L2 Weekly – 💸 Solana allocates 100% of priority fees to validators; Nomura explores stablecoin issuance in Japan
Solana passes a proposal to allocate all priority fees to validators. Nomura explores stablecoin issuance in Japan. Maple Finance launches Syrup providing institutional yield.
