Uniswap Floats Plan to Turn On v4 Protocol Fees Using a Tiered Fee Controller Framework
AI Market Summary
Uniswap Labs' v4 temperature check to activate protocol fees across 11 chains introduces a layered V4 Fee Controller (policy + adapter) to manage Hook-era fee complexity and route proceeds into per-chain TokenJars, with UNI burns bridged back to Ethereum. The move formalizes value capture and standardizes fee overrides across pool families, but governance execution risk remains given multiple on-chain votes and new fee logic.
Impact level
● Medium
Affected assets
UNI/USDT+0.78%
AI Insight · UNI/USDTAI Insight
▲ Bullish
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ChainCatcher reports that Uniswap Labs has published a temperature-check proposal to activate protocol fees on v4 pools. Using the expedited governance path previously approved via UNIfication, the initiative will move straight to a five-day Snapshot vote before proceeding to on-chain voting.
Uniswap says fee setup on v4 is more complex than v2/v3 because of the protocol's Hook architecture. To manage this, the proposal introduces a V4 Fee Controller design built around two contracts: V4FeePolicy, which determines the fee for any pool based on governance parameters, and V4FeeAdapter, which applies governance overrides and routes collected fees into TokenJar.
Fees would be determined in layers by pool family: governance-set rates for specific trading pairs take priority, followed by the family's default rate, with a global default serving as the final fallback.
The plan would enable fees across 11 networks, including Ethereum, Arbitrum, Base, and BNB Chain, and covers three pool-family types: static-fee pools without Hooks; CCA pools that use continuous liquidation auctions; and aggregator Hook pools.
For aggregator Hook pools, the proposal applies a 25x multiplier. Default fees would be set at 10 bps (3 bps for stablecoin pairs) on non-Base chains and 3 bps (1 bps for stablecoin pairs) on Base.
All fees would accrue to each network's TokenJar. UNI burned on L2s and AltL1s would be bridged cross-chain to Ethereum mainnet and sent to the 0xdead address.
Snapshot voting is scheduled for July 7 through July 12. On-chain voting is slated to start the week of July 13. Because GovernorBravo caps each proposal at 10 actions, the proposal will be split into two parallel on-chain votes submitted at the same time to cover all networks.