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Uniswap V3 Comes to Bitcoin Sidechain Rootstock

GFX Labs has announced the integration of Uniswap, a leading decentralized trading platform, with Bitcoin’s sidechain, Rootstock. This strategic move helps redefine the DeFi landscape. It leverages Uniswap V3’s advanced smart contracts to enhance liquidity and trading capabilities on the Bitcoin network.

Uniswap Meets Bitcoin: A Strategic Integration

Rootstock, a sidechain compatible with the Ethereum Virtual Machine (EVM), is the focal point in this integration. It boasts a significant total value locked (TVL) of $114 million, a testament to its growing importance in the DeFi sector. Integrating Uniswap onto Rootstock is not just a technical feat but a strategic one, marking a significant milestone in expanding DeFi services beyond the Ethereum ecosystem.

GFX Labs, renowned for its innovative approach to DeFi product development, received a substantial grant of $1.6 million from the Uniswap Foundation in September 2022. This grant was specifically allocated to develop Oku, the platform chosen to deploy Uniswap V3 on various blockchains, including Rootstock. The company has already successfully launched Uniswap V3 on seven chains, such as Ethereum, Optimism, and Arbitrum, showcasing its commitment to broadening the accessibility of DeFi services.

Uniswap, originally thriving on the Ethereum network, is now making significant inroads into the Bitcoin ecosystem. This expansion is a part of the larger “build on Bitcoin” movement. It has gained momentum with initiatives like Ordinals and BRC20s. The integration of Uniswap with Rootstock exemplifies the versatility and adaptability of DeFi projects. Plus, it allows them to transcend traditional blockchain boundaries.

Future Plans: More Chains, More Opportunities

The journey doesn’t stop here for GFX Labs. The company plans to deploy Oku and Uniswap V3 on three additional blockchains. This expansion strategy underscores GFX Labs’ commitment to staying at the forefront of the DeFi revolution. They ensure that innovative solutions like Uniswap are accessible on diverse platforms.

While Uniswap’s distinct branding isn’t part of the Rootstock deployment, the essence of its DeFi capabilities remains intact. The integration serves as a reminder of the dynamic and adaptable nature of DeFi, allowing for innovative remixes and applications across various platforms. 

This adaptability is further evidenced by Uniswap V3’s license expiry last April, opening up the protocol for legal use and adaptation by other entities.

The Strategic Advantage for Uniswap Holders

GFX Labs’ deployment of Uniswap on Rootstock offers a strategic advantage to UNI holders. They have the unique opportunity to influence key protocol parameters, such as the “fee switch.” This feature allows the charging of a percentage on trades, potentially redirecting value back to Uniswap’s decentralized autonomous organization (DAO). 

Such deployments, typically endorsed by Uniswap governance, highlight the symbiotic relationship between Uniswap holders and the broader DeFi ecosystem.

Being early adopters of EVM-compatible chains, like Rootstock, places Uniswap in a prime position to lead the DeFi space. This strategic positioning limits the opportunities for competing liquidity protocols. Moreover, it ensures a solid foothold in the ever-evolving world of blockchain and DeFi.

Jerry Rolon

After working for 7 years as a Internet Marketer, Jerry now aims to explore the journalistic side of Internet. With his impeccable knowledge in this domain, he churns out some of the best news articles from the internet niche. With respect to acedamics, Jerry earned a degree in business from California State University.

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