Uniswap Governance Passes Major ‘UNIfication’ Proposal; 100 Million Token Burn Imminent
The post Uniswap Governance Passes Major ‘UNIfication’ Proposal; 100 Million Token Burn Imminent appeared on BitcoinEthereumNews.com.
The UNIfication proposal passed with overwhelming support on December 25, 2025, setting the stage for a massive token burn and new fee structure. Overwhelming Approval from Token Holders The vote wasn’t even close. Over 125 million UNI tokens supported the proposal, while only 742 voted against it. This represents 99.9% approval from the community. The result far exceeded the 40 million vote requirement needed for the proposal to pass. Uniswap founder Hayden Adams confirmed the results on December 26, stating that the protocol can now become “the primary place tokens are traded.” The voting period ran from December 20 through Christmas Day, with the quorum being reached within just two days. The $600 Million Token Burn The most eye-catching part of the proposal is a one-time burn of 100 million UNI tokens from the protocol’s treasury. At current prices, this represents approximately $590-600 million worth of tokens being permanently removed from circulation. This retroactive burn accounts for the fees that could have been collected if the protocol fee switch had been active since Uniswap launched in 2018. The burn will execute after a mandatory two-day governance timelock period. Source: @UniswapFND Currently, UNI has a circulating supply of approximately 630 million tokens. After the burn, this will drop to around 530 million tokens, creating a significant supply squeeze. Protocol Fee Switch Goes Live Beyond the one-time burn, UNIfication activates Uniswap’s long-discussed protocol fee switch. This represents a fundamental shift in how the exchange operates. Previously, all trading fees went directly to liquidity providers who supply tokens to the platform. Under the new model, a portion of these fees will be redirected to the protocol itself. These fees will then be used to burn UNI tokens on an ongoing basis. The fee switch will initially activate on Uniswap v2 and select v3…
Filed under: News - @ December 27, 2025 9:02 pm