TL;DR:
- Uniswap puts to vote a proposal to expand protocol fees to eight new networks and all remaining v3 pools.
- If approved, funds collected on each chain will be sent to TokenJar contracts and then bridged to Ethereum mainnet to burn UNI tokens.
- Despite the announcement, UNI dropped 6.7% in the last 24 hours and trades near $3.34.
The Uniswap community is analyzing one of its most ambitious governance proposals in recent months: the expansion of protocol fees to eight additional networks and the activation of fees across all remaining v3 pools.
The initiative was submitted by Erin Koen on the protocol’s official forum and is the first to use the new governance process approved under UNIfication, a mechanism that allows skipping the formal proposal stage and moving directly to a five-day vote on Snapshot followed by an on-chain vote.
The networks included in the proposal are Arbitrum, Base, Celo, Optimism Mainnet, Soneium, X Layer, Worldchain, and Zora. On each of them, the generated fees will be sent to chain-specific TokenJar contracts and subsequently bridged to Ethereum mainnet, where Uniswap tokens will be burned by sending them to the 0xdead address, permanently reducing the circulating supply.
Uniswap Studies a New System for v3 Pools
The technical core of the Uniswap proposal is the introduction of the v3OpenFeeAdapter, a tier-based system that replaces the current model of pool-by-pool fee management. Under the new scheme, protocol fees are applied uniformly to all pools that share the same fee tier for liquidity providers. This eliminates the need to implement individual governance actions for each pool and ensures that every new pool added to the protocol automatically contributes to the revenue system. Governance retains, however, the ability to modify parameters on specific pools when necessary.
Since the activation of UNIfication in late December, Uniswap had been monitoring the gradual rollout of fees on v2 pools and a selection of v3 pools on Ethereum mainnet. According to the proposal, market-adjusted TVL on the main network grew since then, and the burn mechanism operated without issues.
Despite the progress, the price of UNI succumbed to the market correction. The token opened the session at $3.56, dropped 6.7%, and trades near $3.34, with a market capitalization above $2.15 billion. It broke the support level at $3.38; the first key resistance stands at $4.24. The protocol’s total TVL remains above $3 billion.
