Crypto Stimulus #Uniswap Platform Shows the Massive Use Case of Blockchain for Economic Development



Cryptocurrency was developed surrounding the idea of decentralization. Following the economic collapse of the free market system in the late 2008's the centralized sources that were supposed to be the benchmark for economies created a bubble through derivatives in the housing market.


If the government had not stepped in, the bank accounts of many could have been completely erased.


The inherent risks associated with investing money in a decentralized system are many, there is no government or financial institution that is responsible for someone hacking your account or insuring losses.


Now that the cryptocurrency markets continue to develop, a push-pull between centralization and decentralization continues to cultivate. If you want to trade or store value in a cryptocurrency, an exchange or marketplace makes sense. Binance continues to grow in popularity and revenue, as more people adopt and invest in cryptocurrencies.





Uniswap is an exchange that accomplishes decentralization built on Ethereum that enables users to trade and store cryptocurrencies. Instead of the typical process of matching individual buy and sell orders, users can pool together two assets that are then traded against, with the price determined based on the ratio between the two. Uniswap uses a simple math equation and pools of tokens and ETH to do the same job. 


Unlike most exchanges, which are designed to take fees, Uniswap is designed to function as a public good—a tool for the community trade tokens without platform fees or middlemen.


Uniswap released their own coin - $Uni, a week ago. When this happened they gave ALL users who were on the exchange prior to September 1st - 400 free coins. Instead of easily keeping these coins for themselves, they awarded their early adopters a share of the distribution - now valued around $2,000.


This act of generosity in current economic conditions is unrivaled. It also demonstrates the sheer impact this technology could have on the future of the world. An issue with current investments for economic development - there are risks associated with having to trust intermediaries such as government institutions.


An airdrop done online - could have instant impacts on individuals in need. A $2,000 investment in USD is a high % of some countries yearly salaries. According to Gallup the worldwide yearly salaries are $10,000.


#UniSwap is the most innovative piece of #technology I have come across in a VERY LONG time. It is an ETrade made on the BlockChain - completely decentralized.


I had never experienced the true capabilities of #Ethereum and the future of commerce until I began using the platform.


Sources


https://uniswap.info/home


https://news.gallup.com/poll/166211/worldwide-median-household-income-000.aspx


https://www.businessinsider.com/average-annual-income-around-the-world-2019-8#24-india-2


https://finance.yahoo.com/news/uniswap-users-claimed-560m-worth-142136720.html


https://web.stanford.edu/~guillean/papers/uniswap_analysis.pdf

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