{"id":194271,"date":"2023-09-28T03:39:38","date_gmt":"2023-09-28T03:39:38","guid":{"rendered":"https:\/\/tokenstalk.info\/?p=194271"},"modified":"2023-09-28T03:39:38","modified_gmt":"2023-09-28T03:39:38","slug":"uniswap-unveils-funding-plan-for-ecosystem-revamp-as-uni-price-hits-4-month-low","status":"publish","type":"post","link":"https:\/\/tokenstalk.info\/crypto\/uniswap-unveils-funding-plan-for-ecosystem-revamp-as-uni-price-hits-4-month-low\/","title":{"rendered":"Uniswap Unveils Funding Plan For Ecosystem Revamp As UNI Price Hits 4-Month Low"},"content":{"rendered":"
In a move aimed at advancing their vision of creating a self-sovereign Internet with a permissionless alternative to traditional finance (TradFi), the Uniswap Foundation (UF) has submitted a <\/span>proposal <\/span>to secure the second tranche of <\/span>funding<\/span>.\u00a0<\/span><\/p>\n The desired funding, totaling $62.37 million, will be put to an on-chain vote scheduled for Wednesday, October 4th, with a 10% buffer included to mitigate price volatility.<\/span><\/p>\n The separation of the funding request into two tranches was initially established to allow the UF to finalize its legal entity and obtain non-profit status from the Internal US Revenue Service (IRS), as the company is based in Brooklyn New York, ensuring clarity on tax implications before receiving the larger portion of funds.\u00a0<\/span>The UF obtained this status in the spring of this year, prompting the request for the second tranche.<\/span><\/p>\n The first tranche of funding, approved by Uniswap governance last year, aimed for $20 million but experienced a decrease in value due to a drop in the price of <\/span>UNI<\/span>, the <\/span>native token of the Uniswap Protocol<\/span>.\u00a0<\/span><\/p>\n Consequently, the Uniswap Foundation received $17.3 million worth of UNI, creating a remainder of $56.7 million to be requested in the second tranche. A 10% buffer of $5.67 million has been included to account for potential price fluctuations, bringing the total request to $62.37 million.<\/span><\/p>\n The Uniswap Foundation plans to receive the funds in UNI, with the amount determined using a 30-day UNI\/USD TWAP (Time-Weighted Average Price). The pricing and its source will be explicitly noted in the on-chain proposal to ensure transparency in the process.<\/span><\/p>\n Regarding future operations, Uniswap currently holds 452,534 UNI tokens for employee vesting, valued at around $1.9 million. Factoring in a capital loss of $259,000 and the current UNI price, the UF has approximately $9.24 million remaining for operational expenses, expected to sustain them until Q4 2024.\u00a0<\/span><\/p>\n Lastly, according to the proposal discussion, the Uniswap Foundation anticipates revisiting governance in mid-2024 to extend its operational runway.<\/span><\/p>\n Uniswap’s native token, UNI, has been consolidated between the price range of $4.198 and $4.311 over the past week.\u00a0<\/span><\/p>\n This price stagnation comes from the overall market trend and a bearish macro outlook, with the token experiencing a 0.5% decline in the fourteen-day timeframe. Furthermore, UNI has dropped 9.6% over the past 30 days, reaching a four-month low.<\/span><\/p>\n <\/p>\n In the short term, UNI bulls must defend the current price floor to establish a strong support level. They aim to surpass the <\/span>resistance <\/span>walls at $4.418 and $4.487 to break the downtrend structure and potentially rally toward $6.259. It is worth noting that this price level is still below UNI’s annual high of $7.629.<\/span><\/p>\n According to Token Terminal <\/span>data<\/span>, Uniswap’s circulating market cap currently stands at $3.67 billion, experiencing a recent decrease of 6.66%. The fully diluted market cap, which considers the total number of UNI tokens that could enter circulation, stands at $4.27 billion, displaying an 8.15% decrease.<\/span><\/p>\n The total value locked (TVL) in Uniswap, representing the amount of cryptocurrency assets deposited and utilized within the platform, has recently declined by 5.31%. This decline reflects the broader Decentralized Finance (DeFi) sector’s challenges.<\/span><\/p>\n Featured image from Shutterstock, chart from TradingView.com\u00a0<\/span><\/p>\nUniswap Foundation Seeks Community Approval<\/span><\/h2>\n
UNI Consolidates Amid Bearish Market Sentiment<\/span><\/h2>\n