Liquidity providers deposit funds into Uniswap and receive trading fees from traders (supply-side fees).

Uniswap is a non-custodial exchange protocol built on Ethereum. Uniswap was founded by Hayden Adams and launched in 2018.

UNI tokenholders own and govern the protocol. They do not currently take a cut of the total trading fees paid by traders (revenue). Uniswap's investors include Paradigm, a16z, USV, etc.

governance

github

twitter

discord

etherscan

website

Exchanges (DEX)

Uniswap

# Uniswap Token incentives Methodology

## 1. Overview

Token incentives is defined as the value of native assets that are paid out to supply-side users and liquidity providers of Uniswap. These assets are primarily utilized to compensate stakeholders and bootstrap liquidity across Uniswap V2 and Unichain. This metric is considered analogous to stock-based compensation in traditional finance, representing a key operational expense for the protocol.

## 2. Data sources

- **Blockchain events**: `RewardPaid` events from `StakingRewards` contracts and `CampaignCreated` events from `Univ4MerklRouterOracle` contracts, covering Ethereum
- **External data**: End-of-day price feeds and asset metadata

## 3. Step-by-step calculation

### Component A: Uniswap V2 liquidity mining rewards

- **Purpose**: Historical staking rewards distributed to Uniswap V2 liquidity providers are captured.
- **Logic**: `RewardPaid` events are parsed from `StakingRewards` contracts. The reward amount is extracted from the event parameters and mapped to specific liquidity pools (including DAI-ETH, ETH-USDT, WBT-ETH, and USDC-ETH) based on the contract address emitting the event.
- **Key fields**: `address` (contract address), `amount` (reward quantity), `block_timestamp` (timing)

### Component B: Unichain Merkl campaign incentives

- **Purpose**: Token incentives allocated to campaigns managed via the Merkl platform are captured and distributed.
- **Logic**: `CampaignCreated` events are parsed from `Univ4MerklRouterOracle` contracts. For each campaign, the total reward amount, start timestamp, and duration are extracted. The daily incentive amount is calculated by dividing the total campaign amount by the campaign duration in days. A daily time series is generated for the duration of each campaign, and the calculated daily incentive amount is allocated to each day.
- **Key fields**: `rewardToken` (incentive asset address), `startTimestamp` (campaign start), `duration` (campaign length), `amount` (total campaign incentives)

### Component C: Decimal normalization and USD conversion

- **Purpose**: Incentive values are standardized into USD for cross-asset comparison.
- **Logic**: Raw incentive amounts from both Uniswap V2 and Unichain components are normalized by the decimal precision of each respective reward asset using asset metadata. The normalized daily amounts are then multiplied by the end-of-day price of the asset to determine the USD value. Daily values are aggregated using UTC day boundaries.

*This methodology was automatically generated by Token Terminal's methodology analyzer.*

Value of native tokens distributed as incentives.

UniswapUNI

Token incentives

Token incentives

Competitive landscape

Chain breakdown