Decentralized cryptocurrency exchange (DEX) Uniswap is requesting an on-chain vote to approve the second portion of $74 million in funding for its developer, the Uniswap Foundation.
The second tranche of funding, which includes a 10% buffer for price volatility, is worth an estimated $62 million and will be decided in an on-chain vote on October 4.
This funding includes developer support, research funding, etc. It will be used to support the ecosystem, including The foundation also announced some future plans, including further development of the Hooks ecosystem.
According to the official post, they plan to develop the Hooks ecosystem by the end of 2023. They will award grants to multiple teams to create a v4 SDK, develop hook best practices, training resources, security standards, and libraries.
Last year, Uniswap management approved $74 million in funding for the Uniswap Foundation. They stated that they would split the funding requests into two tranches and that the second tranche would be requested directly through on-chain voting, disabling off-chain votes. They will also sponsor more hackathons with hook-related educational events for ETH Istanbul/Devconnect.
'Hooks' stand out as an important innovation in Uniswap v4. These are external contracts that perform specific actions at specific points during the operation of a liquidity pool. These hooks offer flexibility and customization options for developers to create additional features for their liquidity pools.
*This is not investment advice.