Trading Crypto on the Uniswap Exchange
This page will provide a quick walkthrough of trading cryptocurrency on the DeFi exchange Uniswap.
What is Uniswap?
Uniswap is a decentralized exchange (DEX) built on the Ethereum blockchain. It allows users to trade cryptocurrencies directly from their wallets, without the need for an intermediary or a central authority. Unlike traditional exchanges, Uniswap uses an automated market maker (AMM) system, which is a type of algorithmic trading that allows traders to buy and sell cryptocurrencies based on a predefined set of rules.
Uniswap was created in 2018 by Hayden Adams, and has since become one of the most popular DEXs in the cryptocurrency space. It has gained popularity due to its ease of use, low fees, and its ability to trade a wide range of cryptocurrencies, including many newer or less established tokens.
In a blockchain, each computer or node in the network has a copy of the ledger, which is constantly updated as new transactions are added. To add a new block to the chain, a consensus mechanism is used to ensure that all nodes in the network agree on the validity of the new block. This consensus mechanism varies depending on the blockchain, but it is typically based on proof-of-work (PoW), proof-of-stake (PoS), or a combination of both.
These are just a few examples of the many different types of blockchains that exist. Each blockchain is designed to serve a specific purpose, and they all have their own unique features and characteristics.