Uniswap (UNI) books 25% weekly profit leading to Unichain launch.

UNI, Uniswap's decentralized exchange management token, outperformed the crypto market on October 10 by posting a 15% daily gain following the launch of its own layer-2 network, Unichain. UNI's price is up 25% over the past week and 23% over the past 30 days.

UNI's transaction volume grew 418 percent to $583.2 million. With a capitalization of $5 billion, UNI ranks 20th in the CoinMarketCap ranking.

This performance comes after Uniswap Labs announced the launch of Unichain, an application-specific layer-2 blockchain network.

Uniswap Labs says Unichain is designed to deliver faster and cheaper transactions and improve interoperability between blockchain networks.

The application chain will initially feature block times of 1 second, with plans to eventually reduce block times below 250 milliseconds.

“Unichain will launch with a block time of one second and will soon introduce 250ms “sub-blocks” to make the user experience feel faster.”

Built on Optimism's Superchain, Unichain allows traders to receive transactions from other L2 networks in the superchain, including Coinbase Layer-2 Base and Synthentix's SNAXchain.

Related: Uniswap Launches Its Own Layer-2 Unichain

Following the proposal, UNI's price jumped more than 17% from an opening of $7.20 to an intraday high of $8.46 on Oct. 10, according to data from Cointelegraph Markets Pro and TradingView.

According to CoinGlass data, the rally saw Uniswap become one of the most liquid tokens in the last 12 hours. The figure below shows that over the past 12 hours, over $1.5 million of leveraged UNI positions have been liquidated, while $1.2 million has shorted UNI liquidity.

Additional data from market intelligence firm CryptoQuant shows an increase in Uniswap network activity. According to the chart below, the number of daily transactions increased from a low of 40 on October 9 to a high of 673 on October 10, representing an increase of 1,582%.

The number of active addresses also jumped by 587% over the same period. This suggests the growth of the Uniswap ecosystem, which will increase the demand for UNI tokens.

This article does not contain investment advice or recommendations. Every investment and business activity involves risk, and readers should do their own research when making a decision.