Uniswap Burns Record 134,000 UNI in a Day as Founder Says He's 'Extremely Bullish' on DeFi

The system runs on two core smart contracts:

• TokenJar: A collection contract deployed on every supported chain. All protocol fees from Uniswap v2, v3, and eventually v4 pools accumulate here .
• Firepit: The burning contract on Ethereum mainnet. To withdraw fees from a TokenJar, searchers must prove they have sent an equal value of UNI to Firepit, which forwards the tokens to the 0xdead burn address, permanently removing them from circulation .

Net sequencer fees from Unichain also feed into this same burn mechanism after deducting L1 data costs and Optimism's share . This transforms UNI from a pure governance token into a deflationary asset with direct value accrual linked to protocol usage and Unichain activity .

Scale of the burn so far. Approximately 100.17 million UNI have been burned in total since the program began, including the initial retroactive burn of 100 million tokens from the treasury worth roughly $596 million at the time . That figure represents about 10.1% of the original 1 billion UNI supply .

Which Chains Now Participate (and Which Are Next)

The fee switch initially went live on Ethereum mainnet in late December 2025 . The rollout later expanded to nine additional chains: Arbitrum, Base, OP Mainnet, Soneium, X Layer, Worldchain, and Zora .

A new governance proposal, Protocol Fee Expansion: Vote 3 (Proposal 96), seeks to extend the same infrastructure to three more networks :

• BNB Chain
• Polygon
• Celo

Voting opened on May 24, 2026. If approved, each of those chains would deploy its own TokenJar contract, routing protocol fees into the existing UNI burn pipeline on Ethereum mainnet .

Product Updates from Uniswap Labs

Beyond economic changes, Uniswap Labs has shipped several product updates in recent months that lower barriers for new users and expand the protocol's reach:

• In-app wallet on the web app: Users can create an account in seconds without installing a separate browser extension .
• Cross-chain swaps: Native swapping across multiple blockchains directly from the Uniswap interface .
• Multichain portfolio tracking: A unified dashboard that shows positions and profit/loss across all supported chains .
• Uniswap API adoption: The API now powers approximately 31% of MetaMask swaps on Ethereum mainnet, processing over $126 million in swaps within weeks of integration . Zerion Wallet has also integrated the API for native in-wallet swaps .
• v4 with Hooks (launched January 2025): The modular upgrade enabled developers to build custom AMM features. By May 2026, over 150 custom hooks had been created, enabling dynamic fees, automated strategies, and more .
• Guidestar acquisition: Uniswap Labs acquired the team behind Guidestar, which had been building new AMM and routing technology in stealth for two years .
• Continuous Clearing Auctions on Base: A new mechanism for permissionless token launches with built-in price discovery and automatic liquidity seeding on Uniswap v4 .
• BUIDL integration with Securitize: BlackRock's USD Institutional Digital Liquidity Fund (BUIDL) became available to trade via UniswapX in partnership with Securitize .

'I Woke Up Extremely Bullish': Hayden Adams's 2018 Comparison

On June 5, 2026, Uniswap creator Hayden Adams posted on X that he woke up "extremely bullish on DeFi and Ethereum" . He drew an explicit parallel to the 2018 bear market where he built the first version of Uniswap, when Ethereum sentiment was at all-time lows but a small group of builders kept working on what became the foundation of the DeFi boom in 2020 and 2021 .

His core argument: constructive building during downturns creates the products that define the next breakout cycle. Uniswap launched on mainnet in November 2018, deep in a crypto winter, and went on to become the most-used decentralized exchange on Ethereum .

The comments came one day after the record 134,000 UNI burn was reported, tying the current deflationary milestone directly to his broader thesis .

Adams has made this case before. In a 2023 interview he argued that bear markets are "normal cycles" and that builders who keep shipping during quiet periods are the ones who capture the next wave of adoption .