UNI is connected to a decentralized exchange platform allowing traders to exchange tokens on a peer-to-peer model. In other words, investors can buy and sell cryptocurrencies on UniSwap's platform through a 100% decentralized operation.
Unlike most cryptocurrency exchanges such as Coinbase or Binance that currently dominate the market, UniSwap does not use order systems to introduce traders to the market.
Indeed, it relies on an Automated Market Maker or AMM, smart contracts that set the price of tokens according to various variables. This includes market capitalization, volume and demand. Thus, this makes it possible to simplify and especially to secure the exchange of crypto-currencies which will be done entirely in a decentralized way.
As for UNI, its native token, it is among the top 30 assets that have a high market capitalization. It is $4.9 billion. There are also more than 1,000,000,000 tokens currently in circulation.
When the token was launched in 2020, it was offered at a sale price of $7. At the beginning of 2022, it reached an all-time high of $17, representing growth of more than 140%.
