On July 23rd 2021 Uniswap’s web application banned trading of Mirror Finance’s assets along with several other synthetic assets from its platform. In a blog post Uniswap cited “evolving regulatory landscape” as one of the reason for the decision to remove synthetic assets from its platform. As Uniswap being one of the most popular Distributed Crypto Exchanges, it created a big uproar among crypto circles and it triggered Uniswap’s founder to come out with the statement below. Uniswap explained that these assets are banned only from its web application hosted on app.uniswap.org but not from Ethereum blockchain smart contracts.
Was there any impact on Mirror Assets Traded on Uniswap?
Let us examine how Uniswap’s decision impacted Mirror Protocol. First let us look at the trend of Mirror synthetic asset transactions on Uniswap ecosystem. As you see in the chart below the number of transactions are consistently dropping from July 23rd and the past few days seems to be the lowest number of swaps carried out in the past 10 weeks window.
Now let us check the trend of Mirror assets’ TVL on Uniswap for the past 10 weeks.
How about impact on Mirror’s TVL & Liquidity on Terra Blockchain?
Mirror Protocol is Terra blockchain application and it is primarily used by Terra blockchain users. Was there any impact on Mirror Protocol’s TVL in Terra block chain? Let us explore the charts and examine it