2025-02-01
On January 28, 2025, Uniswap has
officially launched its v4 decentralized exchange (DEX) on 12 blockchain
networks, including Ethereum, Arbitrum, Avalanche, Base, Blast, BNB Chain, Ink,
OP Mainnet, Polygon, Soneium, World Chain, and Zora.
This upgrade introduces
"hooks," which are plugins that let developers create custom logic
for cryptocurrency trading pairs.
Uniswap v4 will also operate on layer-2
scaling networks like Arbitrum, Base, Optimism, and Polygon, among others. The
new features aim to improve user experience, reduce costs, and provide more
flexibility for developers.
Key Features of Uniswap V4
1. Customizable Hooks:
Uniswap V4 introduces a feature called "hooks," which are modular
plugins that allow developers to add custom logic to liquidity pools.
This enables a wide range of
functionalities, such as dynamic fees and automated liquidity management,
enhancing the flexibility of the protocol
2. Gas Optimization:
The new version boasts substantial gas savings, with pool creation costs
reduced by up to 99.99% compared to previous versions.
Users can also expect lower gas fees
during multi-hop trades, making transactions more economical.
3. Native ETH Support:
Uniswap V4 reintroduces native ETH trading pairs, allowing users to trade ETH
directly without needing to wrap it into Wrapped Ether (WETH). This feature
simplifies transactions and further reduces costs
4. Singleton Design:
The architecture of Uniswap V4 utilizes a singleton contract model, where all
pool states and operations are managed by a single contract. This design
enhances efficiency by allowing state updates without deploying new contracts
for each pool
5. Extensive Security Measures:
Prior to its launch, Uniswap V4 underwent rigorous security processes,
including nine independent audits and a record-breaking $15.5 million bug
bounty program. These measures ensure a high level of security for users and
developers interacting with the protocol.
