Uniswap Community Votes to Invest $12 Million in Ekubo Protocol
In a significant move toward fostering collaboration and decentralization within the DeFi space, the Uniswap community has passed the “Invest in Ekubo Protocol” temperature check proposal. With an impressive 63.82% of votes in favor, this decision showcases the community’s commitment to expanding the Uniswap ecosystem. According to the proposal, Uniswap will invest 3 million UNIs, equivalent to approximately $12 million, in the Starknet AMM Ekubo Protocol. In return, Uniswap will acquire a 20% share of governance tokens from Ekubo Protocol.
Notably, Moody Salem, the founder of Ekubo Protocol, has a strong history with Uniswap. He previously served as the engineering lead for the Uniswap team and made substantial contributions to Uniswap’s early codebase. This connection between Uniswap and Ekubo Protocol adds a layer of familiarity and trust to this strategic investment.
Ekubo Protocol 13, a decentralized automated market maker (AMM) operating on the Starknet platform, distinguishes itself through its singleton design, super-concentrated liquidity model, and support for extensions. Written in the Cairo language, it leverages Starknet’s architecture while adhering to many of the same design principles as Uniswap V4. Since its launch, Ekubo Protocol has captured approximately 75% of the total volume traded on Starknet, despite having just 5% of the total value locked (TVL) and no swapping interface.
One of the most compelling aspects of this proposal is the partnership it forms between Uniswap and Ekubo Protocol. The proposal outlines a $12 million contribution in UNI by Uniswap in exchange for a 20% share of a future Ekubo Protocol governance token. This arrangement transforms the Uniswap DAO into a substantial stakeholder within Ekubo Protocol and vice versa. Such alignment opens the door for both development teams, Uniswap and Ekubo, to collaborate more closely.
From Ekubo, Inc.’s perspective, this partnership represents a pivotal step toward the decentralization of protocol development. It effectively integrates the Ekubo team as contributors to the Uniswap protocol, encouraging the sharing of knowledge, resources, and expertise between two influential players in the DeFi arena.
Uniswap, the leading decentralized exchange (DEX) platform, has been at the forefront of DeFi innovation. By investing in Ekubo Protocol, it underscores its commitment to nurturing the broader DeFi ecosystem and supporting projects that align with its vision. Ekubo Protocol’s impressive market share on Starknet and its founder’s roots in Uniswap make this partnership a compelling step toward greater collaboration and innovation within the space.
The Uniswap community’s resounding approval of the “Invest in Ekubo Protocol” proposal not only demonstrates the community’s trust in the vision but also highlights the importance of cross-protocol collaboration as the DeFi space continues to evolve. The synergies between Uniswap and Ekubo Protocol have the potential to reshape the DeFi landscape and drive innovation to new heights.
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