Uniswap (UNI) is a decentralized protocol running on the Ethereum (ETH) blockchain. Through automated liquidity provision, Uniswap gives users the ability to swap ERC20 tokens seamlessly on-chain. In addition, Uniswap enables users to earn a percentage of trading fees by supplying liquidity, known as “liquidity providers” (LPs). These fees become represented by LP tokens and are redeemable, at any time, for their underlying assets.
Through the usage of LPs, the liquidity problem experienced by the "traditional" decentralized exchange (DEX) is solved by allowing users to swap between tokens without having to rely on buyers and sellers to create liquidity (an order book).
Now, in just barely over two years Uniswap has grown to be the largest and most popular DEX in the world... but who exactly created Uniswap?
Hayden Adams, creator of Uniswap
It was just under two years ago when Hayden Adams successfully launched Uniswap to the world in November of 2018. Before Adams was inspired to begin building the Uniswap protocol, he worked as a software engineer, where he performed simulations and engineering design explorations for clients in the aerospace and the automobile industry. Prior to this, Adams had interned as a mechanical engineer for Vista Wearable Incorporated, while also spending time as a researcher at Columbia University.
According to Adams, Uniswap began merely as a side-project. Through Uniswap’s creation, he was able to learn the required skills necessary to transition from a mechanical engineer to a developer in the cryptocurrency space. The protocol would be the beginning of a life-changing journey for Adams, and for anyone involved in the world of decentralized finance.
Inspired by a post from Vitalik Buterin
When asked about his humble beginnings in blockchain, Adams said this, “A friend of mine from college ended up getting a job at the Ethereum Foundation. After I got laid off working as a mechanical engineer (July 2017), he convinced me to learn smart contract development. I was pretty bored at my engineering job, so (I) decided to give it a shot”.
It wasn’t an overnight success by any means - but as Adams and the team behind Uniswap continue building software and relationships, the Uniswap protocol will likely continue achieving great success well into the future.