Uniswap is a decentralized cryptocurrency exchange. The company is well-known for its Uniswap protocol that facilitates automated transactions between cryptocurrency tokens. Primarily, this exchange focuses on the Ethereum blockchain and uses smart contracts. The company started its operations in 2018. Since then, it has offered two versions of its protocol.
Uniswap offers a unique platform to its users. The company does not charge fees on most of its liquidity pools. On top of that, it serves to make exchange Ethereum (ERC-20) tokens more straightforward. Currently, Uniswap is the largest decentralized exchange operating on the Ethereum blockchain. It allows users worldwide to trade in crypto without an intermediary.
Uniswap is also open-source, which makes it more trustable among users. However, it also implies the company gives its code away for others to use as a base. This feature may increase the competitors and alternatives for the platform. However, some other platforms may also contribute to the competition. Overall, the top Uniswap competitors and alternatives include the following.
1. 1inch
1inch is a decentralized exchange aggregator (DEX). The platform allows users to swap one token for another. Primarily, 1inch considers a host of decentralized exchanges and chooses the best price. The platform has processed over $134 billion and has over 1.6 million users. It also supports seven networks with 188 connected sources.
1inch is a DeFi project that aims to cover various blockchains. The platform offers users solutions for Ethereum, Polygon and Binance Smart Chain. On top of that, 1inch has also launched its AMM known as Mooniswap. The platform also supports limit orders which is not common in DeFi. While similar to Uniswap, 1inch focuses on finding the most efficient route for token swaps.
2. QuickSwap
QuickSwap uses an Ethereum token known as QUICK to power its platform. It is a decentralized exchange that runs on the Polygon Network. Primarily, QuickSwap focuses on providing quick and cheap transactions on Ethereum. Users can also use QUICK to create and vote on proposals governing the platform. On top of that, the QuickSwap uses its token to earn trading fees.
QuickSwap is very similar to Uniswap in its services. Since they cover similar areas, both platforms compete to attract users. Furthermore, QuickSwap is a Uniswap clone that utilizes the most adopted Ethereum layer 2 scaling solution. Since it uses similar technology as Uniswap, users may find it more accommodating to switch to this network.
3. Binance DEX
Binance is a cryptocurrency exchange that processes the highest daily trading volume of cryptocurrencies. The company started its operations in 2017 and works from the Cayman Islands. Initially, the company was based in China. Later, however, it moved its headquarters due to the increasing regulation of the Chinese government. In 2019, Binance also entered the decentralized exchange network.
Binance DEX is the company’s answer to other decentralized exchanges. It is a decentralized order-matching engine that works on the Binance Chain technology. Similarly, it allows users to create a wallet and exchange tokens through the Binance DEX testnet. The platform enables users to hold their private keys and manage their wallets. It also offers various security features and is easy to use.
4. dYdX
dYdX is a decentralized exchange platform for cryptocurrency margin trading. This platform supports Bitcoin, Ethereum and several other currencies. However, it primarily focuses its products on the Ethereum blockchain. The platform also released a Layer 2 for inexpensive and instantly settled trades. dYdX offers users various margin trading and perpetual options.
On top of that, dYdX serves to cover a specific niche that other decentralized networks may not cover. The platform started its operations in 2017 through a former Coinbase engineer. Over the years, it has attracted the attention of many investors. While the platform offered basic tools initially, it has introduced more tools to help users with their margin trading.
5. SushiSwap
SushiSwap is an automated market maker. The platform has attracted many users over the years through its decentralized exchange. Similarly, it offers smart contracts to create markets for a given pair of tokens. SushSwap started its operations in September 2020 as a Uniswap fork. However, this platform aims to diversify the AMM market and introduce additional features to the Uniswap base.
SushiSwap has garnered significant attention over the few years despite being a new name in the industry. This platform operates through the FTX network and the Alameda Research brand. Primarily, Sushiswap exists as an AMM. It allows automated trading liquidity between two cryptocurrency assets. It charges users a 0.3% cut from transactions on its liquidity pools.
6. PancakeSwap
PancakeSwap is a decentralized exchange that uses the Binance Smart Chain. This platform comes from an anonymous group of developers. Usually, this is a red signal to traders who may deem it risky for trading. However, that has not been the case with PancakeSwap. The platform has garnered significant attention and serves many users worldwide.
PancakeSwap uses the Binance Smart Chain over the commonly preferred Ethereum blockchain. This feature allows the platform to provide cheaper services to its users. On top of that, it has community governance, giving users the ability to farm liquidity. Similarly, Pancakeswap provides tokens and incorporates other specific features. These features differentiate the platform from others.
7. Serum
Serum is a decentralized exchange protocol and ecosystem. The platform aims to provide significant speed and low transaction costs to decentralized finance. Primarily, it operates on Solana and is completely permissionless. Solana is a blockchain platform that seeks user scalability through faster transactions settlement times. Serum allows users to buy and sell cryptocurrencies.
Serum uses a decentralized order book run by smart contracts. This feature aims to mirror traditional exchanges by matching buyers and sellers. On top of that, it gives participants flexibility with pricing and order sizes. Serum offers users full control over their trading, which most users prefer. The platform also targets innovation that can differentiate it from other platforms like Uniswap and Sushi.
8. JustSwap
JustSwap is an AMM that uses the TRON blockchain. This blockchain went live in 2018 with its mainnet. Primarily, the TRAON blockchain hosts smart contracts and decentralized applications. This network seeks to provide faster transactions and low transaction fees. TRON positions itself as a competitor to the Ethereum blockchain. Uniswap uses the latter while JustSwap operates through the former.
JustSwap operates a similar platform as Uniswap. This platform functions similarly to the latter. Overall, both networks allow users to swap between tokens. However, JustSwap focuses on TRON-based tokens and provide liquidity for higher rewards. JustSwap also operates a liquidity mining program that users can use to stake LO tokens. JustSwap is one of the best alternatives to the common Ethereum-based decentralized exchanges.
9. Kwenta
Kwenta is a decentralized exchange that runs on Synthetix, a unique DeFi protocol. Synthetix is an updated version of the Havven project, which offered a single stablecoin known as nUSD. Instead of that token, the network delivers the SNX (or Synths) token, serving as a collateral token. Kwenta enables the creation of derivative tokens.
Kwenta offers a peer-to-contract platform. By doing so, it allows traders to trade against Synthetix smart contracts. This model seeks to solve the issues from the traditional peer-to-peer models. On top of that, it provides better liquidity and lower slippage. Kwenta also features all Synths supported by the Synthetix protocol. Overall, Kenta offers a substantial alternative to Uniswap.
10. Curve
Curve is a decentralized exchange like Uniswap. This platform allows users to trade cryptocurrency assets. However, it differs from Uniswap in several aspects. The primary difference between them is that users can only trade stablecoins on Ethereum. Curve supports trading for various stablecoins. On top of that, users can also exchange ETH, LINK and other BTC assets.
Users can think of Curve as a Uniswap alternative for stablecoins. When it comes to competition, Curve ranks very close to Uniswap. Similarly, it is one of the most popular platforms in DeFi due to its focus on stability and composability. The platform offers users a highly efficient way to exchange tokens. They can do so while paying low fees and maintaining low slippage.
Conclusion
Uniswap is a decentralized exchange that operates on the Ethereum blockchain. The company started its operations and has since become the largest platform in the market. Overall, it provides several features that attract many users. However, it also faces significant competition. Some of the top Uniswap competitors and alternatives include the names listed above.
