What is Uniswap?

Uniswap is a set of protocols that enables crypto assets to be swapped on blockchains. The Uniswap Labs web application is one interface for accessing the protocol. UNI is its governance token, not the application itself.

Are the protocol, application and UNI the same thing?

The protocol's smart contracts execute swap rules. The interface helps select tokens and prepare transactions. Pools make assets supplied by liquidity providers available for trading; UNI ownership relates to governance participation.

Example

Someone exchanging ETH for USDC selects those assets on the screen. The ETH spent, USDC received and UNI are three separate assets. It does not follow that the user must first buy UNI to make the swap.

What does using Uniswap not guarantee?

A token appearing in the interface is not an endorsement, security certificate or guarantee of sufficient liquidity. Counterfeit tokens, permissions and price movement require separate assessment. An Ethereum transaction also involves network fees, which are distinct from an application fee.

Our Uniswap and UNI analysis examines how protocol usage connects to token economics through fee allocation, burns and liquidity risks.