Polygon [MATIC] wins Uniswap v3 contracts with 99.3% consensus

Polygon [MATIC] receives an overwhelming majority with 99.3% consensus on the deployment of Uniswap v3 contracts over the MATIC Proof-of-stake [PoS] Chain. The Ethereum based liquidity protocol voted via the governance proposal that witnessed the participation of over 72.6 million users from the community. Uniswap Labs announced that the Uniswap v3 contracts will be supported by a $20 million fund — $15 million for long-term liquidity mining campaign and the remaining $5 million would be utilized for the overall adoption of Uniswap on the Polygon network.

Mihailo Bjelic, who happens to be one of Polygon’s co-founders announced it was the right moment for Uniswap to integrate with the layer 2 scaling solution as it is “the second strongest DeFi ecosystem, right after Ethereum L1.” The proposal to deploy was first posted by Bjelic on the Uniswap governance forum on November 20 and was open for voting till Dec. 18, stressing that “deploying to Polygon PoS can bring a lot of benefits including growth in user base, huge savings, higher user activity, higher revenue, market share and return to the original DeFi vision”.

Before the on-chain voting for the governance proposal, the exec released a set of consensus and temperature checked to gauge the community sentiment. Prior to that, on December 17, 2021 Polygon in collaboration with Seven Seven Six, a venture capital entity owned by Reddit co-founder Alexis Ohanian announced a $200 million initiative that will revolve around supporting and hosting gaming applications and Web 3.0 social media platforms built on Polygon’s ecosystem. The POS sidechain saw the launches of over 3,000 decentralized on-chain applications and other protocol launches and cross-chain migrations reflects its explosive growth this year.

Why Polygon?

With regards to the community’s choice, Bjelic, noted that major Ethereum protocols have chosen Polygon because it has facilitated users with a “battle-tested” and cost-efficient implementation of the popular AMM. Citing names of prominent liquidity pools like Aave, Curve, SushiSwap, Balancer, etc whose user base have increased since their deployment on the Matic chain, the co-founder further spoke on the advantages of the ecosystem,

“Besides the impressive number of deployed projects, additional strength of Polygon’s DeFi ecosystem is that it is already self-sustainable. We effectively stopped all liquidity mining incentives some time ago, and yet we keep seeing capital and user inflow and very high user retention.”

Lipika Deka: Lipika is a crypto-journalist at TWJ. A graduate in economics and finance, she has a keen interest in the political and socio-economic facets of blockchain technology and the cryptocurrency industry.