This vote, which attracted a record number of participating wallets, revealed that just 0.1% of voting wallets made up 99% of the 24.9 million votes. However, Uniswap's v3 protocol is active on just five blockchains, with 90% of its total value locked (TVL) being on Ethereum. This is considered more conservative than other popular DEXs such as Curve and Sushi.
The move, pushed by Plasma Finance, aims to target the $2.45 billion TVL of BNB Chain's current leading exchange, Pancake Swap, which is itself a fork of Uniswap's simpler v2. This has raised concerns that Uniswap may be moving towards a more centralized environment, as Binance Coin's blockchain has demonstrated in the past that it is far removed from the ideals of immutability and decentralization, as it paused the entire network in response to a hack.
Furthermore, Uniswap v3's design also raises concerns for retail traders as liquidity providers are required to specify a price range for trading and update it as prices diverge, which can be challenging for many retail traders who prefer passive liquidity provision.
Overall, while governance for Uniswap is set to stay on Ethereum for now, users' funds on Binance Coin's blockchain may not have the same guarantees of decentralization, highlighting the importance of considering the underlying blockchain when evaluating the decentralization of a protocol.