Uniswap Expands Fee and Token Burn System to Three New Blockchain Networks

Uniswap, a major decentralized exchange (DEX), is expanding its fee and token burn system to three new blockchain networks: BNB Chain, Polygon, and Celo. The community has voted in favor of this proposal, with 100% support from UNI token holders, who have cast over 18 million votes.

The expansion aims to reduce the overall UNI supply by permanently burning fees generated on these new chains. This process will transfer all fees from swaps on BNB Chain, Polygon, and Celo to the Ethereum chain, where they will be burned in a designated address. Token bridging to BNB Chain and Polygon will be handled via Wormhole infrastructure.

The burn mechanism has already been active on Ethereum and nine other chains since December. This expansion is seen as a logical step in Uniswap's broader push to operate across multiple chains, with the goal of reducing supply and potentially creating upward price pressures on the token.