Uniswap Monthly Financial Report & Analysis - Mar 23
This Newsletter issue covers Uniswap DAO & Protocol Performance during Mar 23.
Table of Contents
Markets & Governance Recap
March was an eventful month for crypto markets with the SVB fallout & USDC depeg fueling a BTC rally during the first two weeks. The leading digital currency closed March above 28k USD recording a 23% price increase MoM.
Ethereum token had 13% increase during the month while Uniswap’s UNI declined 7%.
On the governance side, UNI holders & delegates voted on one On-chain vote, to deploy Uniswap v3 on Avalanche.
The Uniswap v3 license that prevented forking the protocol’s code without community approval reached its expiration on the 1st of April.
Volumes Analysis
Data Source : Defi Llama
Uniswap protocol facilitated the excution of 71B USD in trading volume during March, up 56% MoM.
Arbitrum volumes surpassed 10B USD thanks to the arrival of ARB token. v3 Ethereum had 70% increase in trading volumes MoM caused by market volatility (mainly BTC) and USDC depeg. Optimism was a downer with 0.5B USD in trading volumes.
Data Source : Defi Llama
Looking at the protocol’s trading volumes since the beginning of 2022, March levels are only surpassed by Jan 22. The protocol recorded higher trading volumes than both May & November 22, two exceptional months in crypto history.
Fees Analysis
Data Source : Defi Llama
Uniswap Liquidity Providers (LPs) made 74m USD during March, around 900m USD annualized.
Data Source : Defi Llama
Unlike volumes, Fees are still lower than H1 2022 levels.
Focus 1 : Uniswap Quarterly Results
Data Source : Defi Llama
150B USD was traded through Uniswap Protocol during Q1 23, still lower than historical levels but promising given the current markets & regulatory environments.
Data Source : Defi Llama
Quarterly fees are still down 50%+ compared to historical levels.
Focus 2 : Uniswap Market Share (L1 & L2s)
Uniswap is mainly competing with two major DEXs : Curve & Balancer. Most of the other industry players are either forks of these protocols or have similar Teck Stacks.
Data Source : Defi Llama
Since Sep 22, Uniswap has been controlling 70-80% of trading Volumes on Ethereum.
Data Source : Defi Llama
An absolute dominance over Arbitrum as well, with 80-90% Market Share.
Data Source : Defi Llama
Uniswap has been controlling over 90% of market share on Optimism except for March where Curve snapped 45%.