Introduction

Uniswap is a decentralized cryptocurrency exchange, often referred to as a decentralized exchange (DEX). It's designed to enable the seamless and trustless exchange of various cryptocurrencies, including Ethereum-based tokens, without the need for an intermediary like a traditional exchange.

In this analysis, we explore liquidity actions within Uniswap pools, focusing on users, volume, numbers, and more. The analysis is divided into four sections:

In the first section, we examine general information about liquidity actions on Uniswap, including changes in liquidity, liquidity providers, and other metrics over time.
The second section delves into the details of Uniswap users and pools, exploring the relationship between the size of liquidity, activity, and the duration of remaining in a pool.
In the third section, we investigate the impact of significant decreases in liquidity and analyze whether the pools are refilled after the decrease or not.
In the fourth section, we have compared liquidity actions in Uniswap pools between two blockchains: Optimism and Ethereum.

Methodology

In this analysis, we utilized Flipside Crypto as our data source. For Ethereum transactions, we employed the ethereum.uniswapv3.ez_lp_actions dataset. Given that the majority of Uniswap transaction volume occurs on the Ethereum blockchain, our focus was primarily on Uniswap transactions within the Ethereum ecosystem. For Optimism transactions, we manually decoded the Uniswap transactions. Each data extraction process required a distinct procedure, and we will provide a detailed explanation of the procedure used in each section.

Note 1: In this analysis, we have explored transactions from Uniswap version 3.
Note 2: We have considered transactions conducted within the last 365 days.
Note 3: All volumes are in US dollars.

Growth of Liqudity Providers