Uniswap’s native token UNI shrugged off a stagnant crypto market and surged more than 12% on Thursday as the decentralized exchange (DEX) project announced a new Ethereum (ETH) layer 2 project.
Uniswap Labs says the new project, called “Unichain,” aims to facilitate decentralized finance (DeFi) and cross-chain liquidity.
“Unichain is designed to leverage and accelerate Ethereum’s scaling roadmap, moving execution to an L2 tier. In practice, this means that Unichain will reduce transaction costs by approximately 95% compared to Ethereum L1 in the short term, and even more over time.
Unichain will soon introduce a decentralized validation network that will allow nodes to verify blocks. This adds an extra layer of finality and reduces the risk of conflicting or invalid blocks.
Hayden Adams, Managing Director of Uniswap Labs, says the new Layer 2 is the result of “six years of design and construction in the DeFi space.”
“Unichain is built on the Superchain – with a few new additions we are making:
A fast, provable block generator that will make transactions instantaneous, reduce MEV loss, and enforce fair ordering of transactions.
A decentralized network of validators that adds an additional layer of finality and economic security on top of the sequencer
With a focus on user experience and cross-chain interoperability – as part of our Superchain membership, and also through our work on ERC7683 – we will create cross-chain user experiences that are even better than the exchange experience within a single chain today.
UNI is trading at $8.12 at the time of writing, up from $7.15 a day ago. The 20th-ranked crypto asset by market cap has also increased by over 23% over the past week.
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Featured image: Shutterstock/Keith Tarrier
