Uniswap Foundation has divulged that it had $41.41 million in fiat and stablecoins before the on-chain voting exercise.
The Uniswap members will initiate the voting process about a suggestion based on protocol fees within V3 pools. Prior to the on-chain voting exercise and taking the opportunity, the foundation has come out with its financial standing as of Q1, 2024. Incidentally, the Uniswap Foundation is a non-profit company backing the decentralized exchange towards its expansion.
According to the foundation, it had $41.41 million and 730,000 UNI tokens as of March 31st. It intends to utilize the assets for grant commitments and running costs. UNI has been kept aside for token awards for employees.
Allocation of $25.77 million until 2025: $2.94 million for grants and $12.7 million for running expenses.
A major segment of grant allocations took place in the first quarter, targeting protocol builders and governance. The balance amount was dished out for research and safety issues.
All of these financial details are made public before the on-chain voting for scaling the protocol. This will allow its fee system to reward UNI token holders who have carried out the staking and delegation of their tokens.
A noteworthy fact is that coming out with a fee change will benefit UNI token holders, who will be allowed to gain from the protocol’s liquidity suppliers who have received fees based on token swaps.
The fee switch suggestion is premised on the assumption that the latest system will help encourage added allocation and create a more involved governance procedure.
