Uniswap Implements Protocol Fee Switch Across Multiple Chains

MemeKingNFT · 2026-03-23T13:19:52+00:00

The Uniswap community is voting on the introduction of a protocol fee switch, planning to change the revenue structure across eight blockchains. The fee-sharing model distributes rewards to liquidity providers and also allows token holders to benefit from the system.

MemeKingNFT

2026-03-23 13:19:52

Abstract generation in progress

According to BlockBeats, the Uniswap community has voted to enable the protocol fee switch. This move is set to bring a new phase to the revenue structure of decentralized trading.

Switch Launch on 8 Chains

The vote covers eight blockchain networks: Base, Arbitrum, OP Mainnet, World Chain, X Layer, Celo, Soneium, and Zora. Applying the switch to Uniswap pools on each chain will significantly change the protocol’s revenue model.

Fee Split Model and Rewards for Liquidity Providers

The protocol fee switch works as follows: at least one-sixth of the transaction fees on each network will be separated as protocol fees from liquidity provider earnings. Then, an equivalent amount of UNI tokens will be burned, and their value redistributed to UNI holders. This model allows token holders to benefit directly from the protocol’s growth.

Expansion Plan for Existing Ethereum Pools

In fact, Uniswap v2 pools on the Ethereum mainnet and some v3 pools have already implemented fee splitting since late last year, generating approximately $3.3 million in revenue so far. The current proposal plans to include the remaining v3 pools on Ethereum in the switch, aiming for a unified fee management system across multiple chains.

The voting has already been completed, marking an important milestone toward optimizing Uniswap protocol revenue.

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