Uniswap Launches V4: These are the Advantages, You Must Know!

Bittime - The decentralized crypto exchange platform or DEX Uniswap recently launched its newest version, namely Uniswap V4. What is it and what are its advantages? Continue reading the review in this article!

Uniswap V4, What is it?

Uniswap, a decentralized crypto asset exchange (DEX) platform, officially launched its newest version, Uniswap V4. This latest version brings a number of important updates aimed at increasing transaction efficiency as well as flexibility for developers in building a decentralized finance (DeFi) ecosystem.

Uniswap V4 was developed with contributions from more than 100 community members and is now available on 12 blockchain networks, including Ethereum mainnet, as well as several layer-2 networks such as Arbitrum, Base, Avalanche, and BNB Chain.

Why should there be Uniswap V4?

Uniswap V4 is here to answer the main problems in the DEX world, namely high transaction costs and limited flexibility for developers and liquidity providers. With better gas efficiency and new features, Uniswap V4 is expected to increase its competitiveness in the DeFi market and attract more users.

One of the biggest innovations from Uniswap V4 is reducing the cost of creating a liquidity pool by up to 99.99 percent. This makes the process of providing liquidity much cheaper, which can ultimately increase user participation.

Uniswap V4 Advantages

The following are the advantages of Uniswap V4:

1. Higher Gas Efficiency Uniswap V4 introduces the “singleton” concept, where all liquidity pools are consolidated in one smart contract. This approach significantly reduces gas fees which have been one of the main obstacles in trading crypto assets on DEX.
   
    
2. Hooks Feature for Developer Flexibility Uniswap V4 allows developers to use “hooks”, which are custom modules that can be used to adjust pools, swaps, fees and liquidity positions. With this feature, developers have more freedom in creating more efficient trading strategies.
   
    
3. Support for Multi-Hop Swaps With lower transaction fees, users can now exchange assets more efficiently using multi-hop routes compared to direct transactions through large pools such as ETH/USDT.
   
    
4. Support for Native ETH Transactions Uniswap V4 also supports native Ethereum transactions with lower fees, allowing users to trade at better prices and more optimal profits for liquidity providers.
    

Conclusion

The launch of Uniswap V4 marks a new era in trading crypto assets on DEX. With lower fees, greater flexibility for developers, and better transaction efficiency, Uniswap V4 is expected to attract more users and increase widespread DeFi adoption.

Uniswap's native token, UNI, is currently hovering around $10.62 (Rp. 173,106). With the various improvements introduced in V4, UNI's future price outlook has the potential to improve along with wider adoption of the platform.

FAQ

What are the main differences between Uniswap V4 and previous versions? 

Uniswap V4 has higher gas efficiency, hooks features for developers, and much lower liquidity pool creation costs compared to previous versions.

How does Uniswap V4 reduce transaction fees? 

By using a "singleton" system that combines all liquidity pools in one smart contract, and supports cheaper multi-hop transactions.

Is Uniswap V4 available to all users? 

Yes, Uniswap V4 is already available on Ethereum mainnet and several layer-2 networks such as Arbitrum, Base, and Avalanche.

How to Buy Crypto on Bittime

Want to trade sell buy Bitcoins and crypto investment easily? Bittime is here to help! As an Indonesian crypto exchange officially registered with Bappebti, Bittime ensures every transaction is safe and fast.

Start with registration and identity verification, then make a minimum deposit of IDR 10,000. After that, you can immediately buy your favorite digital assets!

Check the exchange rate BTC to IDR, ETH to IDR, SOL to IDR and other crypto assets to find out today's crypto market trends in real-time on Bittime.

Also, visit the Bittime Blog for interesting updates and educational information about the crypto world. Find reliable articles about Web3, blockchain technology, and digital asset investment tips designed to enrich your crypto knowledge.