UniSwap Labs Eyes Unicorn Status With $200M Funding

Uniswap Labs, a DeFi firm that contributes to the Uniswap UNI/USD protocol, is in discussions with several investors to fund an equity round of $100 million to $200 million in a bid to diversify its offerings and develop its decentralized finance capabilities

Uniswap Labs is collaborating with investors including Polychain and one of Singapore's sovereign funds as part of the future investment round, at a valuation of $1 billion, TechCrunch reported.

The report stated the terms of the agreement might alter because the talks of the round have not been finalized as yet.

Funds To Further Technological Advancements

The excess funds will enable Uniswap to offer better nonfungible token (NFT) and DeFi technologies.

According to data from DefiLlama, Uniswap's daily trading volumes currently totals $1.1 billion, or nearly 57% of all trade across all worldwide DEXs.

Curve, the second-largest DEX by volumes after Uniswap, has daily volumes of roughly $205 million.

“Our mission is to unlock universal ownership and exchange,” Uniswap Labs COO Mary-Catherine Lader was quoted as saying.

“If you can embed the ability to swap value and have people join the community and exchange value with your project, or your company or organization — that’s a powerful way to allow more people to engage in this ownership,” she added.

Uniswap Labs has not officially commented on the negotiations.

Uniswap Seeking To Address Liquidity Concerns Around NFTs

Uniswap has been in discussions with a number of NFT lending protocols about its ambitious ambitions to address liquidity difficulties and the "information asymmetry" around NFTs.

Despite this year's tumultuous market, the Ethereum ETH/USD-based DEX has witnessed a growing trend.

Founded in 2018, Uniswap closed its first fundraising round a year later from the American investment company Paradigm, which specializes in cryptocurrencies.

Additionally, the company completed a Series A capital round in 2020, which was also headed by Andreessen Horowitz and included contributions from other companies such as Paradigm, USV, Version One, Variant, Parafi Capital and others.

Photo: karnoff via Shutterstock