Project Name: Uniswap
Author Name: Ken Ng on behalf of the Uniswap Grants Program
Defillama TVL (at snapshot): $45.8M
Transactions/day (at snapshot): 1,886
Tier : 2
Optimism native: No
Revisions to metrics used: N/A
Number of OP tokens to claim : 1,000,000
L2 Recipient Address: 0x0D162447B8dF47C2e7910441bF3C8c1b55b9B124
Proposal for token distribution (under 1000 words):
Introduction:
The Uniswap Grants Program was born out of UNI governance in Q1 2021. The mission of UGP is to provide valuable resources to help grow the Uniswap ecosystem. It has become one of the primary allocators of the UNI Treasury, and one of the core institutions working to empower community members to advance the Uniswap protocol. Since inception, UGP has granted ~$6.9M in funding to 122 projects and events, including onboarding efforts, community analytics, developer tooling, new interfaces and integrations, and more. With the 1M $OP tokens, UGP will continue to support these projects and initiatives for the Uniswap ecosystem on top of Optimism. To note, UGP has already been a supporter of Optimism, including sponsoring the Optimism Geth workshop in Paris.
How will OP tokens be distributed?
Optimistic Uni Grants
UGP will use 20% of the total 1M $OP allocation for grants focused on Optimistic-Uniswap builders. Grants will be decided at UGP’s discretion but for the specific purposes of improving L2 usability, accessibility, ease of integration and development of Uniswap on Optimism.
Liquidity Mining
UGP will hold the remaining 80% $OP allocation on behalf of the Uniswap community and DAO in the UGP multisig (ugp.eth). When the funds are received, UGP will engage the community to best determine which pools will receive liquidity incentives. We will post on the Uniswap governance forums to source ideas on how to best implement communal decision-making, and utilize Snapshot to formalize decisions on incentives. Through this process, UGP will act as faithful community stewards to help organize, custody, and transfer funds once decisions are made with community stakeholders as we have always done in the past.
How will this distribution incentivize usage and liquidity on Optimism?
Uniswap and Optimism have a long history of collaboration, from as early as unipigs, up until today where Uniswap is the largest DEX by market share. By helping to facilitate community decisions on which pools to incentivize, we are excited for swappers to be able to enjoy Uniswap on Optimism with the same deep liquidity and fair pricing that they enjoy on Ethereum mainnet.
Through grantmaking, UGP will be able to continue supporting existing developer tooling to launch projects on Optimism, but also increase the breadth of support for core developer infrastructure. Specific events like hackathons and EVM workshops, as well as bounties and matched funding rounds will be able to more comfortably receive support from this allocation. Additionally, new projects and integrations will have the ability to build freely and natively on top of Optimistic Uniswap.
Why will the incentivized users and liquidity remain after the incentives dry up?
We believe that this plan leads the way with proper financial incentives for users of Uniswap on all sides, LPs and swappers. Providing incentives will kick off the liquidity flywheel – attracting LPs, which will attract more swappers, which will attract more LPs, and so on and so forth. Moreover, through grants, the developer experience will finally become more accessible and open the door for builders and hackers to start natively on Optimism, rather than building on mainnet and migrating afterwards.
Over what period of time will the tokens be distributed?
The community will ultimately help to decide the time frame in which liquidity incentives will be distributed. For grants, UGP will aim to commit funding within a year of the $OP being received. However, should anything change, UGP will engage the community to make any further decisions.
How much will your project match in co-incentives?
The Uniswap community has been supported by various other liquidity incentive programs and will continue to see more come in the future. Although, we cannot commit funds to match incentives, UGP will continue to provide ongoing support on behalf of the community to help ensure the ecosystem becomes more robust and easier for all users.