Uniswap governance has begun an on-chain vote that runs from July 19 to July 26, with token holders deciding on two proposals tied to protocol fees and UNI burns. One would turn on protocol fees for selected v4 pools. The other would extend the v2 and v3 fee mechanism to Robinhood Chain. Fees collected under both proposals would ultimately flow into the UNI burn system created through UNIfication.
Uniswap founder Hayden Adams said on X that current trading activity, especially the volume on Robinhood Chain, could have a meaningful effect on UNI burns. “We expect this to have a pretty significant impact on UNI burn,” he wrote.
Two proposals move to final on-chain approval
The first proposal focuses on v4 and would activate protocol fees for part of its pool set. The second proposal, submitted by Adams, is aimed at enabling the fee mechanism for v2 and v3 on Robinhood Chain.
When Robinhood Chain launched its mainnet on July 1, Uniswap deployed all protocol versions from v2 through v3 on the network at the same time. According to the proposal, cumulative trading volume across those deployments had exceeded $6 billion by July 10.
v4 fee proposal covers three pool types across seven chains
The v4 proposal would enable fees for three categories of pools:
- fixed-rate pools
- pools launched through continuous settlement auctions
- aggregator hook pools
The scope includes Ethereum, Arbitrum, Base, BNB Chain, Polygon, Optimism and Robinhood Chain, for a total of seven chains.
Uniswap said the GovernorBravo governance contract limits a single proposal to 10 on-chain actions. Because of that cap, the remaining five chains will be addressed in a second proposal.
Robinhood Chain volume surged in its first week
Robinhood Chain is an Ethereum Layer 2 built on the Arbitrum stack. The report said the chain drew about $3.1 billion in DEX trading volume in its first week, with meme coins accounting for much of the early activity.
On-chain data cited in the article showed Uniswap volume on Robinhood Chain reached a daily high of $563.9 million on July 8, roughly 10 times the $58.9 million recorded the day before. Adams pointed to that momentum as a key reason he expects UNI burn volume to rise noticeably.
Dynamic fees in v4 require a new governance structure
Unlike v2 and v3, which use fixed fee tiers, v4 introduces a hook-based design that allows pool fees to change from block to block. That makes fee activation more complex than in earlier versions.
To handle that, the proposal introduces a governance-controlled framework that groups pools into different “families” and calculates each family’s fee rate under a rule set, instead of setting fees manually for each pool one by one.
Both proposals are using a fast-track governance route approved after UNIfication passed. That route skips the RFC stage and replaces it with a five-day Snapshot vote followed by an on-chain vote. The Snapshot vote was completed from July 7 to July 12, making the current on-chain ballot the final step.
Fee expansion follows the UNIfication burn rollout
According to the article, UNIfication was a major governance overhaul approved last December with 99.9% support. That reform activated protocol fees for v2 and v3 pools on Ethereum mainnet and burned 100 million UNI from the treasury, while leaving the v4 fee question for later.
Uniswap governance has been discussing broader fee expansion plans since February this year. So far, the burn mechanism has expanded to 11 chains. Last month, UNI burns also reached a record daily total of 186,000 tokens.
The result of the current vote will be known on July 26. If both proposals pass, Uniswap will extend protocol fee coverage much more broadly, with Robinhood Chain’s trading activity set to become a major data point for how fast UNI burns develop from here.