Uniswap hits another milestone in terms of trade volume

Recently the lifetime cumulative trading volume of the Uniswap protocol has crossed the $1 trillion, despite its token price continuing to struggle.

The Uniswap community today celebrated their spectacular milestone as the protocol approved a $1 trillion lifetime cumulative trade volume.

Launched back in November 2018 on Ethereum Mainnet, Uniswap is one of the first decentralized exchanges to launch so far. Its sole purpose is to provide a non-custodial platform for transfer, trade, and purchase on the Blockchain and now the protocol saw a volume of more than a trillion dollars through it after three-and-a-half years.

Currently, Uniswap has a daily volume of $1.4 billion which is about 3 times more than its nearest rival Pancakeswap ($500 million), and about nineteen times more than Sushiswap ($71 million) the second largest Ethereum based decentralized exchange. On November 10, 2021, it reached an all-time high of $8.8 billion per day.

Uniswap has Ethereum, Polygon, Optimism, and Arbitrum, where about $5.9 billion in total value locked(TVL), while Sushiswap and Balancer are valued at $2.1 billion each, while Bancor is valued at $631 million, $1 inch has $10 million locked. The most locked protocols include lending protocols like MakerDAO ($9.7 billion), Curve ($ 9.1 billion), and Aave ($8.6 billion).

The all-time high TVL of Uniswap was worth $10.5 billion back on December 1, 2021. TVL was in the range of $6 billion to $8 billion due to the market downturn caused by the breakdown of the terra ecosystem on May 7.

However, despite these remarkable numbers, the market capitalization of the protocol has been in a steady downward trend now for more than a year. At the beginning of May 2021, the undiluted full market capitalization of Uniswap reached an all-time high of $33.3 billion and the UNI token reached $42.33 at that time. Today, its absolute thin market capitalization is $5.3 billion, and its token value is $5.49.

While the entire DeFi sector has been trading in the bear market since early May 2021, Uniswap is no different from them, despite maintaining or improving the fundamentals of the protocols. Even popular protocols have lost 80% of their value. UNI is now down 87% from its all-time high.

However, the market downturn has not discouraged the Uniswap community. On May 23, the community voted without any opposition to launch the protocol on two other blockchains, the Gnosis Chain and the Moonbeam Network.

Read also: Finally, Do Kwon secured major support to restart Terra