Key Takeaways
- Uniswap v4 is coming soon after missing its original Q3 2024 target.
- Major updates include Hooks for customizable liquidity pools and dynamic fees.
- Uniswap v4’s new architecture promises significant gas savings and improved efficiency.
Uniswap Labs has dropped a teaser for the much-awaited Uniswap v4, promising that the new version is “coming soon” despite missing its previously set target of Q3 2024. The announcement, shared via a post on X on January 2, 2025, showcased an image of the year “2025” alongside the caption “v4 is coming soon.”
Though no specific launch date was mentioned, the crypto community is eager to see what improvements Uniswap v4 will bring to the decentralized exchange (DEX) protocol.
Hooks and Custom Pools to Transform Liquidity Provision
The release of Uniswap v4 is focused on several interesting features, but perhaps the most interesting feature to developers will be “hooks.” Hooks make it possible to insert custom code into several points in the life cycle of a pool, affording space for even more flexible and innovative liquidity pools. These include everything from dynamic fees, the introduction of TWAMMs, and on-chain limit orders.
Besides this, these hooks open the door to pools interacting with lending protocols and/or custom oracles that have the capability to improve the available strategy to the developers in managing liquidity and bringing in new functionalities not available to the previous versions.
Gas Savings and Uniswap v4’s Architecture Overhaul
Its architecture also underwent an imposing redesign for it, which was to drive the gas cost down dramatically. In the latest release, one “singleton” contract lets all pools exist in one smart contract, such will reduce, by their estimation, the creation cost of pools by 99%.
Flash accounting will further improve efficiency by reducing the number of token transfers between pools, which would provide a cleaner and lower-cost way of doing multi-pool swaps. It also brings back native ETH support that contributes to even more saved gas for the users.
The improved design of Uniswap v4, coupled with strong community governance, will pave the way for a very powerful evolution of DeFi. Focused on customization, efficiency, and cost savings, it’s well-positioned to further solidify the network’s leading position in the decentralized exchange space for 2025 and beyond.
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