Uniswap became the first decentralized exchange with a daily trading volume of more than $1 billion

The surge in yield farming activity due to decentralized finance protocols led to Uniswap becoming the first DEX to trade more than $ 1 billion in 24 hours.

According to aggregator CoinGecko, currentlyThe daily trading volume of ERC-20 tokens on the platform is $ 1.02 billion, which is the third largest indicator among all operating cryptocurrency exchanges. Uniswap V2 is second only to Binance and OKEx with $ 6.25 billion and $ 1.1 billion, respectively.

Besides the fact that the decentralized exchange has outpaced the popular centralized platforms Huobi and Bitfinex, it also becamethe leading DeFi protocol with $ 1.77 billion in smart contract assets. According to the DeFi Pulse website, this impressive fund accounts for 18.05% of the total value of funds locked in decentralized finance protocols.

Despite the current success, experts predict thatthat Uniswap will not be able to maintain its leading position for long due to aggressive actions of competitors. As an example, they cite the SushiSwap fork, which has already raised $ 1.47 billion to its platform through a strategy of "vampirism", pumping liquidity and poaching the holders of competing tokens. Similar methods are also used by yuno.finance, Hotdogswap, pizzafinance and others.

The increased user activity leads to network congestion and an increase in Ethereum transaction fees up to $ 16, which makes small transactions unprofitable.