The decentralized finance (DeFi) community is buzzing after the Uniswap (UNI) token experienced a massive surge, climbing over 117% from its recent low of $4.73 to reach a peak of $10.30. This parabolic price movement was ignited by a groundbreaking governance submission, dubbed the <b>"UNIfication"</b> proposal, which seeks to fundamentally restructure the protocol’s tokenomics by activating fee mechanisms and directing the proceeds toward buying back UNI tokens.
<h2>Restructuring Tokenomics with Protocol Fees</h2>
[embed]https://twitter.com/haydenzadams/status/1988044454939279379[/embed]

The proposal’s primary objective is to turn on the protocol-level fees for Uniswap V2 and V3 pools for the first time. This mechanism, if passed, would divert a portion of the trading fees currently paid entirely to liquidity providers (LPs) to the Uniswap DAO treasury. The newly generated revenue would then be used exclusively to execute large-scale market buybacks of the UNI token. According to early analysis by one analyst, this system could potentially generate approximately <b>$38 million in monthly UNI buybacks</b>, creating significant deflationary pressure on the asset.
<h3>Hayden Adams Aligns Incentives</h3>
The governance submission was co-authored by key figures, including Uniswap founder <b>Hayden Adams</b>, Devin Walsh, and Kenneth Ng. Adams publicly shared his excitement about the proposal, emphasizing its importance in aligning the ecosystem's various stakeholders. In his own words: "Today, I'm incredibly excited to make my first proposal to Uniswap governance on behalf of @Uniswap alongside @devinawalsh and @nkennethk This proposal turns on protocol fees and aligns incentives across the <a href="https://www.cryptoknowmics.com/news/uniswap-key-price-levels-traders-should-watch-closely/">Uniswap</a> ecosystem Uniswap has been my passion and singular focus for…"

The full governance process, which includes a comment period, a five-day snapshot vote, and a ten-day on-chain voting and execution window, is expected to conclude tentatively around December 3, making this period a critical turning point for one of DeFi’s most important protocols.

Uniswap (UNI) Price Explodes Over 117% Following Landmark Governance Proposal

Uniswap's UNI token surged over 117% following a "UNIfication" proposal to activate protocol fees and direct the revenue toward large-scale UNI buybacks.

Uniswap (UNI) Price Explodes Over 117% Following Landmark Governance Proposal

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