Uniswap V3 Launches on Optimistic Ethereum Mainnet

Divya  |  Jul 15, 2021

Leading decentralized exchange(DEX) Uniswap has announced the Alpha launch of its layer-two scaling solution on the Optimistic Ethereum(OΞ) Mainnet. In a blog post published to its site, the exchange stated that “the launch marks the first step in the journey for DeFi applications to rival and surpass traditional web user experiences.” 

Layer-2 Scaling Solution Launched with Uniswap V3 on Optimistic Ethereum

The initial launch is limited in its capabilities and Uniswap has asked users to treat it as “an early alpha product.” For now, Optimistic Ethereum will have a throughput of 0.6 transactions per second that will increase over time as the OΞ infrastructure undergoes additional scaling and improvements. 

Uniswap has also warned users of potential delays while stating that withdrawals from OΞ to layer one will take 7 days until faster services are made available. Moreover, Uniswap v3 will support a limited number of assets at launch, which includes ETH, USDT, WBTC, DAI, and SNX. But more assets are expected to join this list in the coming days.

The DEX estimates that if V3 sees the same usage as layer one, then OΞ should offer transaction cost savings of up to ten times. Although, growing demand will certainly drive the gas prices higher. 

Users can start shifting their assets to the Optimism Ethereum network via the Optimism Gateway. The network is already compatible with popular wallets like Metamask, WalletConnect, Etherscan, and The Graph.

Uniswap V3 Receives Encouraging Initial Impressions

Following the introduction of version 3, Hayden Adams, the founder of the Uniswap protocol, tweeted that the update leads to “Instant transactions and a steady increase in scaling w/ the end goal of fully meeting the demand for low cost, high-speed DEX trading.” He also added that this has significant implications for the DeFi sector. 
“Building general-purpose Optimistic Rollups is an extraordinary undertaking and a critical step for decentralized finance to gain mass adoption,” Adams noted.
So far, Uniswap V3 has garnered positive initial impressions with Bankless founder David Hoffman commenting, "It's instantaneous and insanely cheap. 5 swaps in 30 seconds, and I wasn't even trying to be fast."

For its part, Uniswap has asserted that the current launch is a major step forward, but Ethereum scaling will be “an iterative process“. The exchange has also said that both ETH 2.0 and Optimistic Rollups are “complementary scaling solutions” that will enable the widespread adoption of DeFi. 

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