PANews|Jul 29, 2026 00:55
[Uniswap Founder Responds to v4 Fee Switch Controversy: Protocol Fees Are Additive, LP Earnings Not Reduced]
Uniswap founder Hayden Adams responded to the controversy surrounding the v4 fee switch in a post on the X platform, clarifying that the claim 'LP fees are being reduced' is a misunderstanding. He explained that protocol fees are additive rather than subtractive, and LPs still earn 30 basis points per transaction as before. Addressing the claim that 'the protocol takes 25% of LP profits,' he stated that in a 30-basis-point pool, the protocol fee is 5 basis points, accounting for approximately 14% of the total transaction fee, while LPs' earnings remain untouched.
Hayden Adams also pointed out that centralized exchanges charge 100 to 200 basis points per transaction, whereas Uniswap's 5-basis-point fee at the 30-basis-point tier is 20 to 40 times cheaper. He further criticized certain forked projects for charging 100% of transaction fees while using token-voting mechanisms to set uneven inflation rates as 'compensation' for LPs.
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