Hayden Adams, founding father of the brand new decentralized trade Uniswap, discusses how Uniswap differs from a standard trade primarily based on order books, how market the contract determines the worth of the tokens, and the way market making on Uniswap is comparable, by way of cost, to taking part in a mining pool. He covers below which circumstances it’s {that a} market maker will earn revenue, what charges go towards in Uniswap, and the way the contract features because the greenback values of every token in a liquidity pair fluctuate. He describes how Uniswap rapidly turned one of many largest decentralized exchanges on Ethereum since its launch in November, why fuel charges are decrease on Uniswap than different dexes, and the way new tokens get listed on Uniswap. Plus, he talks about what regulatory threat he faces, how he plans to become profitable off the dex, and what he thinks of the concept Dan Elitzer described in final week’s Unconfirmed — folks utilizing the Uniswap liquidity pair tokens as collateral for loans.
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CipherTrace: http://ciphertrace.com/unconfirmed
Episode hyperlinks:
Uniswap: https://uniswap.io
Uniswap on Twitter: https://twitter.com/UniswapExchange
Hayden: https://twitter.com/haydenzadams
Explanations of Uniswap:
Excessive degree overview by Cyrus Younessi of Scalar Capital: https://medium.com/scalar-capital/uniswap-a-unique-exchange-f4ef44f807bf
One other by Ross Bulat: https://medium.com/@rossbulat/uniswap-understanding-the-decentralised-ethereum-exchange-5ee5d7878996
Evaluation of Uniswap on Token Each day: https://www.tokendaily.co/weblog/pnl-analysis-of-uniswap-market-making
The posts by Vitalik Buterin that Hayden used to create Uniswap:
On Reddit: https://www.reddit.com/r/ethereum/feedback/55m04x/lets_run_onchain_decentralized_exchanges_the_way/
The remark by Vitalik close to the highest of this weblog put up about Bancor: http://hackingdistributed.com/2017/06/19/bancor-is-flawed/
Weblog put up by Vitalik: https://vitalik.ca/normal/2017/06/22/marketmakers.html
Unconfirmed episode with Dan Elitzer on superfluid collateral and Uniswap liquidity pair tokens getting used as collateral: https://unchainedpodcast.com/how-to-earn-money-on-collateral-in-defi-and-why-thats-risky/
