Decentralized exchange Uniswap has overtaken Tether’s USDT stablecoin as the largest gas spender on Ethereum’s network.
According to data from ETHGasStation, Uniswap has surpassed Tether, generating $6.99 million gas consumed over the last 30 days compared to USDT’s $6.39 million.
Uniswap operates as a decentralized cryptocurrency exchange, leveraging automated market makers (AMMs) and liquidity pools as opposed to the order books employed by most trading platforms. Users of the protocol are charged a 0.3 percent fee for executing a trade, which is then divided among liquidity providers.
The sudden rise in popularity for DEX led Uniswap to tie industry-leading bitcoin on August 10 in total fees paid in one day. Uniswap has also come to dominate trading volume among decentralized exchanges.
According to data compiled by Dune Analytics, Uniswap accounted for 55.4 percent of all DEX trading volume over the past seven days, with Curve coming in second at 16.4 percent. Uniswap also led the market with over 70,000 unique traders in the past week, compared to IDEX’s 4,600.
Decentralized exchanges and DeFi protocols have experienced a windfall over the last several months, in part due to growing investor interest in liquidity farming. Dune reports the 30 day total DEX market volume has grown to $9.2 billion, with the majority of projects operating on ethereum’s network.
Featured Image Credit: Photo via Pixabay.com