Uniswap has switched on so-called aggregator hooks on Ethereum, Base and Robinhood Chain, according to The Block. The feature lets trades routed through Uniswap draw liquidity from external protocols too, starting with Fluid, Curve and PancakeSwap. It is available in the web app and through the API, while the first such hook went live on the Tempo network in March. Trades that use external liquidity pay protocol fees, which go towards burning UNI tokens.

What it means: For years Uniswap was the exchange with the deepest liquidity of its own, but users increasingly go through aggregators that search for the best price across many protocols. With aggregator hooks, Uniswap becomes that aggregation point itself, keeping users in its own interface even when execution happens elsewhere. Linking fees to token burns shows the protocol trying to tie usage to an economic benefit for holders of its governance token, something it long avoided because of regulatory risk. Robinhood Chain on the list also shows how traditional intermediaries are building their own networks that connect to decentralised finance. The direct impact on Greek businesses is limited, but for fintechs and crypto-asset service providers under MiCA there is a real question: when a client order is executed through a chain of protocols, who guarantees best execution and who is responsible if something goes wrong? European authorities, like the FCA in the UK, are already looking at how operational resilience and anti-money-laundering rules apply to such structures. Anyone building services on top of DeFi needs clear records of each trade's route.

Read the original on The Block

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