UNISWAP: What is it?
Uniswap, a decentralized exchange (DEX) for exchanging cryptocurrencies based on the Ethereum blockchain, is powered by the cryptocurrency token UNI.
With more than 94 million trades completed since Hayden Adams, the founder of Uniswap introduced the V1 protocol — the first version of Uniswap — in November 2018, Uniswap has quickly gained much traction. On Uniswap, more than $70 billion (£52 billion) in cryptocurrencies are swapped on a monthly basis. Uniswap uses AMM (Automated Market Maker) to match trades quickly and allow liquidity to the traders at all times. Uniswap is also the first DEX, and many DEXs that have followed suit have been inspired by Uniswap itself, including SushiSwap, PanCakeSwap, ShibaSwap, etc.
Source: Changelly | Working of the Uniswap platform
The protocol allows for a more decentralized trading experience than Coinbase and Binance and rewards users for creating liquidity pools to support these exchanges on the Uniswap platform. Unfortunately, a large number of liquidity providers are losing money. A study by Bancor found that the volatility of cryptocurrency prices costs 50% of liquidity providers’ money.
Where Can I Purchase UNI Tokens?
UNI is listed on all significant cryptocurrency exchanges worldwide, including those in India, whether they are centralized or decentralized (Giottus, PancakeSwap, Binance, etc.). The only things to be worried about when purchasing a token like UNI are the reliability of the cryptocurrency exchange and the transaction fees charged.
As one of the top exchanges currently running in India, Giottus has a wealth of knowledge about purchasing or selling cryptocurrencies. Let’s examine the procedure for purchasing UNI tokens on the Giottus exchange.
1. The home screen will greet you when you first visit Giottus and prompt you to log in or sign up. Please click the “sign up” button if you are a new user. You must provide your registration information in a welcome prompt to be considered a verified trader on the Giottus platform. After completing the registration information, you will be instructed to confirm your email address.
2. Enter your country of residence and KYC information to finish your registration. To complete your KYC information, enter your full name, birth date, and address. You must provide a copy of your Aadhar card to verify your identification. You can buy a UNI token if Goittus validates your account within 24 hours if you satisfy all requirements.
3. You can now log in, and when you do, you’ll get this window with a list of available tokens for your first purchase. You must first deposit money into your Giottus account, choose the INR option, and click on Deposit before you can place an order.
