Uniswap’s founder has just shocked the community with a semi-cryptic statement that could mean pushing for an end to fees.
A new X post by Uniswap protocol founder Hayden Adams suggests that the platform may consider eliminating gas fees.
Potential elimination of Ethereum gas fees
Taking X, Adams noted that no consumer should ever hear the term “gas fee.” His statement is a clear indication that Uniswap, as a decentralized exchange, has issues with gas fees and their impact on the user experience.
For context, gas fees are transaction costs for conducting transactions on the Ethereum blockchain paid in Ether. The issue of gas fees is a common concern because congestion usually drives up these costs. The Dencun upgrade happened recently and affected gas fees by reducing the fees payable on the Ethereum Layer-2 protocol.
Notably, Ethereum gas fees hit their lowest level in four years since 2020, remaining at 6.8 Gwei. Subsequent Dancon upgrades increased blobs and network performance, resulting in significantly lower fees. The upgrade has fueled developers’ interest in how gas prices could rise if market activity picks up.
As one of the largest decentralized exchanges (DEX), if Uniswap can eliminate gas fees on its platform, it could ultimately trigger a new wave of adoption.
The Ethereum ecosystem welcomes a number of upgrades.
Meanwhile, the Ethereum ecosystem has welcomed other upgrades over the past few months.
On Friday, Christine Kim, vice president of the research team at Galaxy, highlighted the latest work on the X platform that Ethereum (ETH) developers are doing regarding the Pectra upgrade. According to Kim, these developers agreed to further expand the scope of the Pectra upgrade with the inclusion of EOF and EIP 7702.
Electra is the upgrade, the next consensus layer-focused hard fork coming to Ethereum. Ahead of the proposed expansion of the Pectra Upgrade, Kim identified four key codes that the team behind the Pectra Upgrade plans to include. Ethereum protocol developers are integrating EIP 6110, EIP 7002, EIP 7251 and EIP 7549 into the Electra upgrade.
EIP 6110 allows a deposit processing protocol mechanism at the Consensus Layer and eliminates the currently used proposer voting mechanism.
Despite this widespread growth, Ethereum developers have not devised a way to completely eliminate fees, especially on the mainnet. Whether Hayden Adams can implement a no-fee structure remains to be seen, however, the community is interested in what the next steps are for the exchange.