Utility in the Markets
Uniswap is a decentralized exchange (DEX) which means that it is a peer-to-peer trading platform that allows users to exchange cryptocurrencies without the need for a centralized intermediary. The users of the platform create their own order book, which means that they can decide what price they want to buy or sell a specific token. The smart contract on Ethereum blockchain ensures that the trades are executed in a secure manner.
It differs from other decentralized exchanges because it uses a smart-contract based system instead of order books, and liquidity pools instead of order matching systems. The Uniswap platform has a 0% fee structure and no deposit fees. It also allows users to trade ERC20 tokens, Bitcoin, and Ethereum with no fees. Users can also create their own orders using the interface on the website or through a mobile app.