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@UniswapProtocol and DEXs are off to a roaring start with volumes to smash Sept-20 highs.
But how valuable are DEXs actually? We price the largest in the world, $UNI.
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But how valuable are DEXs actually? We price the largest in the world, $UNI.
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AMMs have quickly become the most successful DeFi protocols. #Uniswap 's exchange volumes have grown to rival Centralized Exchanges.
$UNI is a governance token, tho it has a fee switch, which allocates 0.05% in fees to holders.
What are these fees worth? https://messari.io/article/valuing-uniswap-the-world-s-largest-decentralized-exchange
$UNI is a governance token, tho it has a fee switch, which allocates 0.05% in fees to holders.
What are these fees worth? https://messari.io/article/valuing-uniswap-the-world-s-largest-decentralized-exchange
Dividend Distribution Model: this is the 1st of 4 methods. It is mostly used to value equities whose core feature is to payout a dividend (once @UniswapProtocol 's fee switch is on). Below is $UNI's Sept-21E price based on various growth rates and cost of equity
Discounted Cash Flow (DCF) analysis: determines the value of $UNI based on future cash flows.Below is the valuation for the years ahead:
https://messari.io/article/valuing-uniswap-the-world-s-largest-decentralized-exchange
Price / Sales and Dividend Yield: We look at global listed exchanges as a set of comparables for UNI. Below are the comparables and resulting $UNI valuation:
https://messari.io/article/valuing-uniswap-the-world-s-largest-decentralized-exchange
Governance Value? We don't assign any until the community can exercise influence on @UniswapProtocol 's directtion . @AndreCronjeTech showed how hard it was getting 10million votes to be a delegate. https://twitter.com/AndreCronjeTech/status/1307236337276407808?s=20
Risks? This is the most competitive area of DeFi, especially from . @SushiSwap which was reinvented itself and emerged as a serious competitor in leadership, more contributors, new features & merger with . @iearnfinance (in $YFI 's new network) https://messari.io/article/valuing-uniswap-the-world-s-largest-decentralized-exchange
/ There are high expecations for Uniswap v3 (Q1'21E) for major improvements on capital efficiency, slippage & speed. This could scale $UNI by *orders of magnitude*.
Valuing @UniswapProtocol will provide a benchmark for the entire DEX sector: https://messari.io/article/valuing-uniswap-the-world-s-largest-decentralized-exchange
