Uniswap Foundation Token Reward Proposal Passes Temperature Check Vote

Author: James Hunt, The Block; Compiler: Deng Tong, Golden Finance

• < p>The Uniswap Foundation’s proposal to change Uniswap community governance has passed the temperature check vote – 100% in favor.

• The proposal includes changes to the protocol fee mechanism to reward users for delegating and staking UNI tokens, which will now be voted on-chain.

The Uniswap Foundation proposes to support the popular decentralized exchange Uniswap Governance changes, including changes to its fee mechanism to reward users for delegating and staking their tokens on the platform, have unanimously passed a temperature check vote.

The Temperature Check Poll is a snapshot poll designed to gauge the Uniswap community’s initial sentiment towards moving forward with the proposal, which began on March 1st with 100% representation Support passes. The Uniswap Foundation will release on-chain voting results on March 7.

“We are excited to incentivize governance by tying delegation to protocol fees, incentivizing not just delegation, but thoughtful and active delegation,” the Uniswap Foundation wrote in the proposal. “Specifically, We believe that UNI token holders will be motivated to select representatives and their votes and participation in the protocol will lead to the development and success of the protocol."

If the on-chain vote is successful, the community will have the option to turn on fees , enabling the Uniswap protocol to automatically collect and distribute fees to voting UNI token holders, and let governance control fee-related settings. The Uniswap Foundation added: "The Immunefi bug bounty will be effective until the successful on-chain vote ends."

After the proposal is released Uniswap token price surges

After the proposal was announced on February 23, the price of Uniswap’s native token immediately surged by more than 50% to around $11.40. It was trading at $15.73 at the time of writing - up about 14% in the past 24 hours and 45% higher than in 2019. 165% over the past week and 165% over the past month.