Uniswap Burns Cash! 💸 To $7.2 or Bust? 🤔

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Right. So, everyone’s suddenly terribly worried about having too many tokens. It’s a bit like finding you have too many socks, isn’t it? Not a proper crisis, but… unsettling. And naturally, the fancier cryptos are leading the charge, doing things like…buying back their own stuff and setting it on fire. Yes, really. It’s called ‘deflationary measures’ and apparently, it’s Very Important. 🙄

Amidst all this token-incineration, Uniswap decided to have a go. The little community, bless their hearts, agreed – practically unanimously – to start torching the UNI tokens. Ninety-nine point nine percent! You’d think they were getting rid of particularly embarrassing holiday photos, not digital currency.

Uniswap Treasury Goes on a Burning Spree: $591 Million Up In Smoke

The result of this monumental decision? A rather substantial bonfire of 100 million UNI, which, when translated into actual money that normal people might understand, comes to approximately $591 million. That’s enough to buy a small country. Or a lot of socks. They voted for it! 742 people thought it was a bad idea, obviously haven’t experienced the joys of a token burn.

Now, the plan is, any future money Uniswap makes will also be tossed onto the digital pyre. All revenue from various sources – the web app, the wallet, some complicated stuff involving V2 and V3 pools and something called “Unichain sequencer proceeds” – all going up in smoke. It’s like a particularly extravagant form of accounting, really. 🤷

After the great burning, the Uniswap Treasury is a bit lighter, going from a rather boastful $2.1 billion down to a still-considerable $1.6 billion. A nice little slimming exercise for their digital coffers, wouldn’t you say? This, allegedly, creates a “deflationary loop”. Which sounds suspiciously like economics people made up to confuse the rest of us. Essentially, fewer tokens, more demand (hopefully), prices go UP. Simple!…ish.

The Market’s Reaction: A Bit of a Flutter

The market, being a fickle beast, did respond. UNI had a bit of a jump, reaching a peak of $6.4 before deciding that was enough excitement for one day and settling back down.

As of… well, now. UNI’s at $6.3, up 5.2% on the day. Folks seemed keen, with trading volume going up 52% to $297 million, and the market cap hitting a monthly high of $4.6 billion. Apparently, people like watching money disappear. Go figure. 🧐

They also noticed some “accumulation” happening. Which, in this case, means people are actually buying UNI, rather than just selling it. The “Accumulation and Distribution Volume” thingy showed a surge to 744.6k, which is apparently good. The ‘Buyers v Sellers index’ showed the buyers winning, and UNI recorded a positive Netflow of 0.116. It’s a win for the purchasers of spooky internet money.

Will It Last? That’s The Question, Isn’t It?

So, UNI is looking a bit perkier, thanks to the token fire and a general feeling of ‘maybe this is a good thing.’ It’s even nudged past those Moving Averages – fancy lines that traders like to stare at. Plus, some “Stochastic Momentum Index” (don’t ask) did a “bullish crossover.” Things are, on paper, looking positive.

If people keep buying it, and that burning continues, UNI might break through $6.4, maybe even reach $6.6, and, dare we dream, hit $7.2. But if the hype cools, and people remember there are other things to spend their money on (like socks!), it could fall back to $5.7. Blockchain is unpredictable – always expect the unexpected… and possibly a slight burning smell. 🔥

Final Thoughts

  • Uniswap burned a ludicrous amount of UNI. It was a very fiery day.
  • UNI briefly went up, then remembered it was a cryptocurrency and wobbled a bit.

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2025-12-28 19:08