Where to buy Uniswap (UNI): Everything you need to know

If you are interested in investing in Uniswap , in this article I am going to explain where to buy your UNI token and some keys about the potential of this project that will help us decide if we should include this cryptocurrency in our investment portfolio.

 

How to buy Uniswap

Buying UNI is very simple since due to its reputation and time since its creation it is available on the largest exchanges, such as Binance or Coinbase Pro.

In case you are just starting out and don't have much of an idea of ​​how to buy UNI, the summary is as follows:

1. Search CoinMarketCap for exchanges trading the UNI token.
2. Register an account in the exchange of your choice, which is very simple.
3. Verify your identity to be able to operate. Do not worry about this because once registered they will tell you the steps to follow.
4. Transfer funds to the account, by bank transfer, debit card or any other of the available methods.
5. Once done, your account will be available and you are ready to buy Uniswap.

If your idea is to invest in this currency (or any other) for the long term, I recommend that you keep them in your own cryptocurrency wallet . UNI tokens are very easy to store in any ERC-20 token compatible wallet.

What is Uniswap?

Uniswap is an automated decentralized exchange . It is basically an open source Dapp, built on Ethereum, that facilitates the exchange of ERC20 tokens through liquidity pools of different assets.

Users can use Uniswap in two ways:

• They can exchange two ERC20 tokens for free.
• They can provide liquidity to the system and get commissions for doing so.

To access the exchange all you need is an etherum wallet like Metamask. We would connect our wallet to the platform and carry out, for example, the exchange of tokens, always having them under our control.

Uniswap History

Uniswap was launched in 2018 without any kind of ICO or funding . Its founder, Hayden Adams, thought that it should improve the decentralized exchanges that existed at that time, at the head of which was Etherdelta.

The project attracted a large number of users who preferred to avoid traditional exchanges and adoption accelerated in 2020 with the arrival of Defi Crypto . In March of that year, they released many improvements with version 2.0 that not only increased functionality but also made Uniswap faster, more robust, and more secure.

The project not only attracted the attention of users but also that of venture capital funds . In August 2020 Uniswap raised $11 million in a Series A funding round led by A16z's Andreessen Horowitz.

UNI Token

The total amount of Uniswap tokens is 1 billion units . There is currently just over 30% in circulation and the rest will be distributed over the next 4 years among the different members of the Uniswap ecosystem: community, team, investors, and advisors.

The project intends that part of the units be distributed through initiatives that increase the value of Uniswap , such as encouraging the use of liquidity pools.

On the other hand, the idea of ​​the project is not that users simply keep the tokens in their wallets. It is about encouraging participation by helping liquidity and taking responsibility for the direction that the protocol should take.

Why invest in UNI

Uniswap is a very interesting project as it has real utility . The idea of ​​decentralized exchanges always attracts many users since many of us crypto investors prefer to avoid centralized exchanges. In this way we can guard our private keys while avoiding commissions for operating .

The difference between Uniswap and other similar protocols is that it is much more efficient when it comes to creating liquidity , adjusting the price of orders according to a series of parameters. Without going into more detail, we could say that it solves the liquidity problem that this type of exchanges usually faced.

One of the reasons decentralized exchanges may be prevalent in the future is because of their ease of operation. The launch of ETH 2.0 will also be able to achieve faster transactions and higher volume. There will be thousands of pairs that can be exchanged and thanks to improvements in interoperability between blockchains, its use can be extended to other ecosystems.

Another point in their favor is their attempt to make the governance token work efficiently. After all, its users want the price to increase and for this it is best that they make the best possible decisions in relation to the development of the protocol.

In short, it is a decentralized exchange that works perfectly with a Token with real utility and that also allows us to earn commissions for providing liquidity to the system.

CONCLUSION

In my opinion, Uniswap is a project with a great future in the coming years.

However, do not forget that you face some risks. The main one is the way in which regulators will view this project. It should not be forgotten that the SEC in 2018 announced charges against the founder of one of its predecessors, Ether Delta, for operating an unregistered exchange.

Finally, remember that this article does not constitute any type of financial advice, so I recommend anyone who wants to invest to be informed correctly and do so at their own risk.

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