A DeFi researcher named DefiIgnas tweeted on October 13 that the newest version of Uniswap, V3, is launching on zkSync (an Ethereum Layer-2 utilizing zk-rollups as scaling solutions). However, because it needs time for testing and marketing, it would take developers roughly 4-6 weeks to install the new version.
1/ Uniswap V3 is launching on zkSync.
Governance vote just passed the necessary 40M votes 'For' with the deployment expected in 4-6 weeks.
Why is it a big deal? 🧵
— Ignas | DeFi Research (@DefiIgnas) October 13, 2022
The new version makes on-chain trading significantly more capital-efficient. It is accomplished by permitting “concentrated liquidity,” which gives liquidity providers the freedom to decide where their tokens should be used in the market.
Governance voting was effectively used to determine whether or not the deployment should take place. Over 41 million people have agreed on Snapshot, which is a million more than necessary. It is important to know that the developers of zkSync, Matterlabs, will deploy the most recent upgrade rather than the Uniswap team.
Matterlabs has seized the opportunity to utilize the benefits of the upcoming zkEVM, which will go live on the mainnet in 16 days. By deploying on zkSync, users can perform activities at lower expenses compared to Ethereum without compromising security. It assists users and enhances their engagement on the DEX. Additionally, the developers believe that this early deployment will solidify Uniswap‘s standing as the top DEX.
DefiIgnas further stated that DApps numbering up to 100, including Curve, Argent, and Yearn, are already building on zkSync. This action supports Uniswap’s cross-chain expansion and facilitates future protocol development.
In recent months, many Zk rollups have gained traction, and they are all vying to be the best. In connection with this, DefiIgnas pointed out the Uniswap V3 launch on zkSync as a well-timed strategic decision. Users of Uniswap and zkSync will benefit from the scaling solutions, low gas costs, and potential for huge transactions thanks to EVM compatibility in the rollup environment.