- Uniswap governance vote signals near approval for long awaited fee switch
- Massive support backs plan to burn 100,000,000 UNI tokens
- UNI price jumps as traders react to strong governance consensus
Uniswap governance activity intensified as a major fee switch proposal edged closer to approval, attracting overwhelming backing from UNI holders. The vote has placed renewed focus on long anticipated changes tied to protocol fees and token supply.
Voting information released by the Uniswap Foundation shows close to 70,000,000 votes supporting the proposal. A total of 69,415,418 votes favored the plan, while only 742 votes opposed it. Meanwhile, 1,500.007 eligible participants abstained, accounting for 2.12% of voters. Overall approval currently stands at 97.88%, signaling a near certain outcome.
Notably, the margin reflects one of the strongest consensus levels seen in recent Uniswap governance decisions. Participation levels also suggest growing confidence among token holders in proposed structural changes.
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Fee Switch Vote Puts UNI Burn Mechanism in Motion
The proposal, submitted by Hayden Adams, forms part of a broader unification framework presented for final governance approval. The voting process began on December 19 and is scheduled to run until December 25. Once approved, a two day timelock will precede implementation.
Under the plan, the fee switch will activate across Uniswap Version 2 and Version 3 on the mainnet. As a result, the protocol will begin burning UNI tokens alongside Unichain fees. Adams stated that the mechanism will lead to the burn of 100,000,000 UNI, directly reducing the circulating supply.
Additionally, Uniswap Labs plans to formally align itself with Uniswap governance through a legally binding agreement. Adams explained that the structure will fall under Wyoming’s DUNA law, strengthening governance execution while preserving decentralization.
Community reaction has remained positive following the update. Several participants expressed approval across social platforms, highlighting expectations around long term protocol sustainability.
UNI Price Reacts as Traders Track Governance Momentum
Market activity reflected growing optimism as UNI responded strongly to the governance developments. Data from TradingView shows the token gained more than 33% within three days of the announcement. At the time of reporting, UNI traded near $6.20.
A crypto analyst monitoring the trend noted that UNI rebounded from the lower boundary of a weekly ascending channel. He observed that buyers defended the prevailing uptrend, signaling improving momentum. The analyst added that sustained buying pressure could support a move toward $25 if current conditions hold.
As voting approaches completion, attention remains firmly on the fee switch proposal, with its near unanimous support underscoring its importance for Uniswap’s governance direction and UNI’s supply outlook.
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