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Uni token Meaning

UNI is the native governance token of the Uniswap protocol, a decentralised exchange (DEX) built on the Ethereum blockchain. Holders of UNI can propose and vote on changes to the protocol, such as fee structures, treasury allocations, and new features, giving them a direct stake in Uniswap’s future development.

Launched in September 2020, UNI was distributed to liquidity providers and early users of the platform to foster community involvement. Beyond governance, UNI tokens can also be traded on exchanges, used in DeFi lending protocols as collateral, or staked in liquidity pools to earn fees.

The emission of UNI follows a distribution schedule designed to incentivise long-term participation while avoiding excessive inflation.

As a governance token, UNI embodies the decentralised ethos of letting protocol stakeholders collectively decide key parameters and upgrades.

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