Uniswap Foundation and Uniswap Labs have jointly proposed a governance initiative aimed at restructuring the ecosystem's incentive model. The proposal includes the activation of a protocol fee mechanism and a reduction in the total supply of UNI tokens through a burn mechanism triggered by protocol usage. Additionally, the proposal suggests establishing a Uniswap Growth Budget to fund protocol and ecosystem development under a service provision framework. Most of the foundation's functions and team would be integrated into Uniswap Labs. The foundation will continue to fulfill existing grant commitments and will cease operations after completing the remaining $100 million grant budget.
Uniswap Proposes Governance Changes to Restructure Incentives
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