Uniswap brings one of its most successful versions to 6 new networks

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Uniswap, the decentralized exchange (DEX) with the most trading volume on Ethereum, launched its version 2 (Uniswap v2) on six new networks. The protocol’s codebase is now playable on Arbitrum, Optimism, Polygon, BNB Chain, Avalanche, and Base.

“With versions 2 and 3 available on all supported networks, users have the flexibility to choose between the simplicity of v2 and the advanced features of v3,” said the Uniswap team. This is mainly noticeable when interacting with liquidity pools or creating them, they highlight.

While Uniswap v3 offers more possibilities for liquidity providers, v2 allows for a simpler experience. “Unlike version 3, in version 2, pools cover the entire price range of the pool by default, reducing the need for asset management and monitoring as a liquidity provider,” they specify.

Besides, Using version 2 of the exchange allows you to save on gas, with costs of less than one dollar for token exchanges. On Ethereum, the same operation can cost $35 on average, the statement compares. Exchanges on Uniswap v2 also do not support MEV (practice of Ethereum validators to reorder transactions to mine more money), which benefits users of the DEX when trading less common cryptocurrencies and tokens.

An important recommendation that the Uniswap team gives is to access the version 2 liquidity pools from the Uniswap interface. The advice is because it is also possible to do so from other protocols based on the Uniswap v2 code in networks such as Binance Smart Chain (BNB Chain), Base and Arbitrum, among others.

Uniswap v2 forks.
Uniswap v2 forks on other networks. Source: DeFiLlama.

According to the DeFiLlama site, there are 568 forks based on Uniswap v2. Among the most used are PancakeSwap, SushiSwap, Katana Dex, VVS Standard and Saucer Swap. But many of these hundreds of protocols suffered from vulnerability exploits, bugs and attacks that led to the loss of USD 55 million in 2023 alone, warns Uniswap, and that is why they recommend using the original interface even to operate on the aforementioned networks.

How can you access Uniswap v2?

“For users who wish to trade using version 2, they can visit app.uniswap.org, select their network and the tokens they wish to trade. The Uniswap interface will direct your exchange through the version of the protocol with the best price (which could be version 2, but could also be routed through version 3 or UniswapX),” explains the DEX development team.

Uniswap v2 data.
There are 669,000 ETH deposited in the Uniswap v2 protocol. Source: defillama.

Uniswap v2 is a very successful iteration of the Ethereum DEX. The total value locked (TVL), that is, the funds deposited in the pools and other functions of the protocol, amounts to USD 2,034 million. V3, meanwhile, accumulates USD 2,759 in TVL.

The particularity of not “abandoning” its previous versions is already a trademark in Uniswap. Although the DEX has a newer and more advanced version, version 3, and even with v4 in development, it is still working on Uniswap v2. It is clear that, in addition to having benefits for users such as those mentioned above, its wide adoption still implies important income for Uniswap Labs, developer of the protocol.

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