The king returns! Uniswap launches token UNI for liquidity mining, how to claim 400 UNI airdrop?
After SushiSwap launched with a "vampire mining attack" and initiated a liquidity migration plan, Uniswap's liquidity briefly hit a low point not seen since the end of August. However, with Uniswap releasing its own governance token UNI and starting liquidity mining, this may put an end to the drama. Major exchanges Binance, Huobi, and OKEx also reacted swiftly by announcing the listing of the UNI token. Details on how to claim your UNI will be explained at the end of the article.
Table of Contents
UNI Token Mechanism
According to the latest announcement from Uniswap, the initial supply of UNI is 1 billion, with the initial four-year distribution as follows:
- 60% for Uniswap community members
- 21.51% for team members
- 17.80% for investors
- 0.69% for advisors
Additionally, after four years, UNI will have an annual inflation rate of 2%, with the following distribution:
- 67.19% for Uniswap community members
- 17.65% for team members
- 14.60% for investors
- 0.57% for advisors
Liquidity Mining Revisiting the Past
The announcement mentions that initially, 60% of UNI will be allocated to Uniswap community members, with 15% already distributed to all users who have provided liquidity. Users who have interacted with Uniswap v1 or v2 contracts (including failed transactions) can claim 400 UNI, and users who have previously redeemed and held SOCKS can also claim approximately 220,000 UNI (0.02%). The snapshot time is before 8:00 am on September 1, 2020 Taiwan time.
The initial liquidity mining will start at 8:00 am on September 18, Taiwan time, and is expected to end on November 17 at 8:00 am. It will be implemented for the following four pools:
Each pool will provide 5 million UNI, equivalent to approximately 83,333.33 UNI per day.
Governance Mechanism
The announcement states that the Uniswap team will not participate in the development, auditing, and other affairs of the v2 protocol, and team members will not directly participate in governance. Members can delegate their voting rights to protocol representatives without attempting to influence their voting decisions. Governance rights for UNI holders include:
- Uniswap governance
- UNI community funds
- Protocol fee proposals
- ENS (Ethereum Name Service)
- Uniswap token listings
- SOCKS liquidity tokens
Governance parameters:
- Proposals require holding 1% of the total supply of UNI
- Legal standard for proposal approval is 4% of the total supply
- Voting period is 7 days
- 2-day delay execution time lock after proposal approval
Previously, there was a report on the day of SushiSwap's liquidity migration. On September 9, Uniswap's liquidity dropped from $1.57 billion to $510 million. Although there was some improvement in the following days, it was far from its peak. After the announcement of liquidity mining, as it had not officially started, Uniswap's liquidity only increased slightly by 3.69%. Founder Hayden Adams did not respond much, only retweeting Uniswap's tweet.
Perceptions of UNI from Various Sectors
Andre Cronje
YFI founder Andre Cronje expressed on Twitter his thoughts that while the token release itself is perfect, it seems like it was issued just for the sake of issuance. He mentioned:
It's hard not to think that this token issuance was just a response to SUSHI. Never let others dictate your pace; move forward at your own speed. I don't understand why Uniswap, just after completing a $320 million Series A led by a16z, and about to start laying out V3, released a token with V2. As per my understanding, UNI would have been released along with or after V3.
SushiSwap
SushiSwap, a copycat of Uniswap that launched a "vampire mining attack" with much fanfare, congratulated Uniswap and founder Hayden Adams for bringing value to the DeFi space over the years. They also mentioned their gratitude for the 138,000 UNI tokens airdropped by Uniswap, which, at the current value, could provide several months of operating funds for their development team. Cheers to all SushiSwap supporters!
How to Claim Your UNI?
Uniswap has provided an IPFS gateway on Twitter for all users who have interacted with Uniswap v1 or v2 contracts (including failed transactions) to claim 400 UNI.
https://twitter.com/UniswapProtocol/status/1306392390945701889
After connecting your wallet on the page, if you are eligible, you will be able to see the claim screen:
Before claiming, it is recommended to check the current Gas Price on Etherscan and adjust the price in MetaMask's advanced options to match the current network status to avoid transaction delays.
Uniswap Successfully Attracts Liquidity
As of the 18th, Uniswap's liquidity has increased by nearly 60% to $1.48 billion. In contrast, after the successful vampire attack on the 10th, SushiSwap's token price and liquidity plummeted. Liquidity has halved to $566 million.
