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Some of the new products likely to be added owing to the projected Uniswap funding include versatile NFT-trading abilities.
Uniswap Labs is reportedly seeking at least $100 million in funding for a potential $1 billion valuation. According to four sources familiar with the matter, the Uniswap Protocol creator wants to expand its suite of services with the projected fresh capital. Although the development is still subject to change, inside sources also claim that at least two investors are attached to the Uniswap funding. These include American investment firm Polychain Capital and one of Singapore’s sovereign wealth funds.
Update on Uniswap Funding
According to reports, Uniswap’s prospective fundraiser seeks to generate between $100 to $200 million in equity. Furthermore, the company’s potential billion-dollar funding round represents an ambitious plan to broaden its offerings to clients. Among such projected offerings is enabling customers to trade non-fungible tokens (NFTs) on Uniswap from a number of marketplaces. In addition, the leading decentralized exchange also seeks to incorporate a wallet to its existing suite of services. Previously speaking on Uniswap’s agenda to onboard “several new products,” the company’s chief operating officer Mary-Catherine Lader, explained:
“Our mission is to unlock universal ownership and exchange. If you can embed the ability to swap value and have people join the community and exchange value with your project, or your company or organization – that’s a powerful way to allow more people to engage in this ownership.”
At the time, Lader also touched on the broader underlying Web3 scheme and the potential it affords players in that space. As Uniswap’s COO put it:
“Web3 is revolutionizing financial technology and financial infrastructure in one. Web3 allows any app, any website, to invent value in a digital economy without having to ask for permission or paying for that service.”
Currently, Uniswap accounts for an overwhelming 64% of all decentralized exchange (DEX) volumes, according to DeFi Llama. Put another way, this is approximately two-thirds of the entire DEX market volume. In addition, UNI, the protocol token of the crypto exchange, has a market cap of roughly $5 billion despite the market downturn. At the height of the peak bull cycle in 2021, Uni’s market cap crested at a whopping $22.5 billion.
Uniswap last conducted a Series A funding round back in August 2020. The platform is the largest decentralized exchange in the crypto space, and counts Andreessen Horowitz (a16z) and Paradigm among its existing backers. Furthermore, the platform also serves as an open-source permissionless protocol that developers can use and embed into their platforms. This is so that crypto users can swap tokens.
The Uniswap decentralized autonomous organization (DAO) also holds the biggest treasury of its kind within the crypto space. According to DeepDAO, this figure amounts to around $2.7 billion in value. Last month, Uniswap stated that it would create the Uniswap Foundation. This entity will be primarily responsible for growing the decentralized exchange ecosystem.
In September, Uniswap’s first round of grants amounted to $1.8 million.