Uniswap (UNI) jumps nearly 20% after community supports billion-token burn

Source: PortaldoBitcoin Original Title: Uniswap (UNI) jumps nearly 20% after community supports billion-token burn Original Link: The UNI token, from the decentralized exchange Uniswap, recorded an appreciation of almost 20% over the weekend, amid the start of an on-chain vote considered historic by the protocol community. Investors are showing massive support for a governance proposal that could implement a token burn mechanism funded by the protocol's fees.

The UNI started to rise shortly after the voting opened, around midnight on Saturday (20). The price broke through the $5.50 range and continued on an upward trend throughout the day, accompanied by an increase in trading volume. At the peak of the movement, the token was traded close to $6.30. The UNI has retreated to $6.12 this Monday (22), but still accumulates gains of 19% for the week.

The proposal, known as “UNIfication” (UNIficação), aims to align economic incentives, governance, and protocol development within a single framework. Once approved, it will trigger protocol fees on Uniswap v2 and in selected v3 pools, redirecting part of these fees to a programmatic UNI burn mechanism.

The plan also includes a retroactive burn of 100 million tokens from the project's treasury – which currently represents about R$ 3.5 billion (US$ 630 million).

According to information from the Uniswap Foundation, by the morning of this Monday (22), about 76 million UNI had been used to vote in favor of the proposal, against fewer than 800 opposing votes, comfortably exceeding the minimum quorum of 40 million. Voting remains open until December 25.

In the view of analysts, the change transforms UNI from a purely governance token into an asset that adds value and greater daily trading volume on the decentralized exchange.