1. BITBILIHome
  2. Article

Uniswap reveals V4 code a secret weapon to transform decentralized trading

• 90 views

TL;DR Breakdown

  • Uniswap Labs recently announced the release of a draft code for Uniswap V4, the latest version of the popular decentralized cryptocurrency exchange.
  • The introduction of “hooks” in Uniswap V4 allows developers to introduce innovative features such as on-chain limit orders, automatic deposits to lending protocols, and auto-compounded liquidity provider (LP) fees.
  • The main objective of the update is to provide a mechanism for pool deployers to incorporate custom code that performs specific actions at different stages of a liquidity pool’s lifecycle.

Uniswap Labs recently announced the release of a draft code for Uniswap V4, the latest version of the popular decentralized cryptocurrency exchange. In a blog post by Uniswap’s Founder, Hayden Adams, it was revealed that the new code incorporates “hooks” or plugins that enable developers to create custom liquidity pools. Uniswap, known for its high trading volume, currently operates on its V3 version, which was deployed on May 4, 2021.

The introduction of “hooks” in Uniswap V4 allows developers to introduce innovative features such as on-chain limit orders, automatic deposits to lending protocols, and auto-compounded liquidity provider (LP) fees. The purpose of releasing the source code as a draft is to engage with the Uniswap community, gather feedback, and iterate on the code over time. Once a consensus is reached and a final version is agreed upon, it will be proposed to Uniswap’s governing body, UniswapDAO.

The main objective of Uniswap V4 is to provide a mechanism for pool deployers to incorporate custom code that performs specific actions at different stages of a liquidity pool’s lifecycle. For instance, developers can create time-weighted average market makers (TWAMMs), which allow users to sell large amounts of crypto in smaller batches over time. This helps traders avoid being frontrun by Ethereum Virtual Machine (EVM) bots or experiencing adverse price movements. Additionally, on-chain limit orders will be possible, allowing pools to fulfill an order only when a token reaches a specified price.

The introduction of hooks opens up numerous possibilities for customization. For example, fees collected from transactions can be automatically redeposited back into the liquidity pool, or the inventory can be lent out when a specific pool is not in use. These hooks provide flexibility and expand the functionality of Uniswap, enabling developers to build on top of its security and liquidity.

Uniswap update means “endless possibilities”

The firm’s Engineer Sara Reynolds emphasized that Uniswap V4’s customizability will accelerate the development of automated market maker (AMM) exchanges. The ability to introduce customized logic through hooks will facilitate rapid AMM innovation. Reynolds stated that this feature represents a significant step forward and expressed excitement about the possibilities it unlocks.

Bridget Frey, Head of Communications at the Company, echoed this sentiment, highlighting that Uniswap V4 will enable projects to leverage the security and liquidity of the platform while implementing their own hook contracts. This approach aims to foster faster and easier innovation for a wide range of projects, ultimately benefiting the entire ecosystem.

The recent surge in decentralized exchanges (DEXs) can be attributed to various factors, including increased user adoption and regulatory actions against centralized competitors. Following regulatory scrutiny and legal action against centralized exchanges such as Binance and Coinbase, DEXs experienced a significant influx of new users. In fact, the top three DEXs saw a staggering 444% surge in trading volume. Despite attempts by regulatory bodies like the United States Securities and Exchange Commission (SEC) to redefine the term “exchange” to include decentralized platforms, crypto venture capital firm Paradigm argues that DEXs do not meet the definition outlined in securities laws.

The platform’s release of the draft code marks an important milestone in the evolution of decentralized exchanges. The introduction of hooks provides developers with the ability to create customized liquidity pools with innovative features, such as on-chain limit orders and automated deposit functionality. This development is expected to drive rapid innovation within the AMM space and further solidify Uniswap’s position as a leading decentralized exchange.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.
Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

文章来源于互联网:Uniswap reveals V4 code a secret weapon to transform decentralized trading

Disclaimers:

1. You are solely responsible for your investment decisions and this info is not liable for any losses you may incur.

2. The copyright of this article belongs to the writer, it represents the writer's opinions only, not represents the site's ones. Not financial advice.

Previous 2023年6月16日 04:42
Next 2023年6月16日 06:18

Related articles

  • Atomic wallet heist: hackers utilize THORChain to mask $35 million stolen funds

    TL;DR Breakdown MistTrack uncovers THORChain’s role in obfuscating $35M stolen funds from Atomic Wallet. Hackers utilize the Swft network to complicate tracking stolen funds in the Atomic Wallet heist. Audacious perpetrators defy regulations by funneling stolen funds into blacklisted exchanges. Description In a shocking revelation, blockchain detective MistTrack has unveiled the masterminds behind the audacious $35 million theft from Atomic Wallet. The perpetrators, exhibiting unparalleled expertise in the field, cunningly employed the cross-chain liquidity protocol THORChain to obfuscate their illicit activities and launder the stolen funds. MistTrack’s meticulous analysis uncovered a series of intriguing transactions that … Read more In a shocking revelation, blockchain detective MistTrack has unveiled the masterminds behind the audacious $35 million theft from Atomic Wallet. The perpetrators, exhibiting unparalleled expertise in the field, cunningly employed the cross-chain liquidity protocol THORChain to obfuscate their illicit activities and launder the stolen funds. MistTrack’s meticulous analysis uncovered a series of intriguing transactions that transpired in the last two days, painting a vivid picture of the hackers’ tactics. Astoundingly, approximately $870,000 worth of ether (ETH) swiftly traversed THORChain’s domain, only…

    Article 2023年6月22日

  • BlackRock hails AI as the ‘mega force’ for heavy returns

    TL;DR Breakdown BlackRock, which oversees $10 trillion in assets, has called artificial intelligence a “mega force” that might boost returns in today’s “unusual” market. BlackRocks’ AI focus stands at the advantages of automation while underscoring that AI would have adverse negative effects on white-collar jobs. BlackRock said the extent of the concentration of gains on the S&P 500 surpassed levels seen in the 2000s tech boom. Larry Fink speculates that “transformative opportunities” in artificial intelligence could resolve the productivity crisis he attributes to persistently high inflation. Description Global investment titan BlackRock, which administers approximately $10 trillion in assets, has declared artificial intelligence a “mega force” that has the potential to generate significant returns for investors in today’s “unusual” market. In its midyear outlook report, the BlackRock Investment Institute outlined its thesis for increased investment in artificial intelligence, citing multiple “disruptive” themes that … Read more Global investment titan BlackRock, which administers approximately $10 trillion in assets, has declared artificial intelligence a “mega force” that has the potential to generate significant returns for investors in today’s “unusual” market. In its midyear…

    Article 2023年7月2日

  • Putin talks Iran’s BRICS entry in call with Iranian leaders

    TL;DR Breakdown Russian President Vladimir Putin discussed Iran’s potential inclusion in the BRICS alliance during a call with Iranian leader Ebrahim Raisi. The BRICS group, comprising Brazil, Russia, India, China, and South Africa, is considering expanding its membership. The call also highlighted the commitment to enhance bilateral ties between Russia and Iran in areas like trade, energy, and logistics. Description In a move that has captured global attention, Russian President Vladimir Putin broached the topic of Iran’s potential entry into the influential BRICS consortium during a call with Iran’s leader. This discussion comes as BRICS, an alliance of burgeoning economies, contemplates its expansion, marking a significant moment in the geopolitical theater. A Pivotal Exchange: Putin … Read more In a move that has captured global attention, Russian President Vladimir Putin broached the topic of Iran’s potential entry into the influential BRICS consortium during a call with Iran’s leader. This discussion comes as BRICS, an alliance of burgeoning economies, contemplates its expansion, marking a significant moment in the geopolitical theater. A Pivotal Exchange: Putin and Raisi Dive into Iran’s Ambitions The…

    Article 2023年8月18日

  • France invites crypto companies that are tired of the U.S.

    TL;DR Breakdown France is extending an invitation to cryptocurrency companies seeking a predictable regulatory environment amid increasing uncertainty in the United States. Already hosting 74 registered crypto firms, France is expecting a surge in anticipation of the EU’s Markets in Crypto Assets rules. Despite the complexity and rigor of France’s regulatory framework, French officials maintain that the requirements are practical and achievable, offering a more predictable path compared to the U.S. In the face of escalating regulatory uncertainty in the United States, France extends an invitation to beleaguered cryptocurrency companies looking for a more predictable environment. French officials are confidently promoting their nation’s regulatory framework, which already hosts approximately 74 registered cryptocurrency firms, a figure poised to rise with the upcoming implementation of the European Union’s Markets in Crypto Assets rules. A pioneer in crypto regulation France has taken significant strides in legitimizing the digital asset market. The Secretary General of the Autorité des marchés financiers (AMF), Benoît de Juvigny, asserted France’s leading role in crafting the crypto service asset provider (PSAN) regime in 2019. He stated, “In France, we…

    Article 2023年5月18日

  • Justin Sun and his company get approved more time in SEC fight

    TL;DR Breakdown Justin Sun and his company, Rainberry, have been granted an extension by the U.S. Securities and Exchange Commission (SEC) in their ongoing case, moving the deadline to December 8, 2023. The primary allegations from the SEC revolve around Sun and his associated entities offering TRX and BTT as unregistered securities. Sun has also been accused by the SEC of manipulating the market value of TRX. Description When the dust seemed to settle and most thought the dice had been cast, Sun and his company, Rainberry, received a lifeline. A judicial nod from the U.S. Securities and Exchange Commission (SEC) has granted an extended timeline for the defense, setting a new deadline: December 8, 2023. It’s a pivotal moment in a case … Read more When the dust seemed to settle and most thought the dice had been cast, Sun and his company, Rainberry, received a lifeline. A judicial nod from the U.S. Securities and Exchange Commission (SEC) has granted an extended timeline for the defense, setting a new deadline: December 8, 2023. It’s a pivotal moment in a…

    Article 2023年9月25日
TOP