Decentralized exchange (DEX) Uniswap has overtaken its blockchain host Ethereum in terms of fees paid over a seven-day moving average.

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The surge is part of a recent spike in high demand for DeFi amid the current bear market. Decentralized finance (DeFi) platforms such as AAVE and Synthetix have seen fees skyrocket over the past seven days, while their native tokens and other tokens such as Compound (COMP) have also surged in value.

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Uniswap traders accounted for an average daily fee of $4.87 million between June 15 and June 21, according to Crypto Fees, which is higher than the average Ethereum user fee of $4.58 million.

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The most advanced Uniswap V3 protocol (based on the Ethereum mainnet) accounts for the lion’s share of the $4.4 million in total fees, while the V2 variant also brought in a notable $336,556.

During this period, Ethereum’s total fees only exceeded Uniswap’s fees on two days out of seven. In terms of peak fee day, Uniswap topped $8.36 million on June 15, ahead of Ethereum on the same day at $7.99 million.

Highest Fees Paid: Crypto Fees

Uniswap allows peer-to-peer (P2P) Ethereum-based token exchanges without a central authority to facilitate transactions. This is achieved through automated smart contracts. Under Uniswap’s fee structure, fees are paid by traders to liquidity providers who receive 100% of the fees on the DEX.

Uniswap has over $1 trillion in volume, but only 3.9 million addresses are in use.

Given that Ethereum is the blockchain that hosts the majority of DeFi and is known for its expensive fee structure, it is notable that a DEX like Uniswap outperforms the blockchain in fees within a week.

According to data from CoinGecko, UNI is up 17.4% over the past seven days and stands at $5.18 at the time of writing. Perhaps the recent acquisitions of marketplace aggregator NFT Genie and the appointment of former New York Stock Exchange President Stacey Cunningham as an advisor to Uniswap Labs may have contributed to this.

Splash of DeFi

Uniswap is not the only platform that has seen fees and token prices rise lately, as the data also shows strong investor demand for multiple DeFi platforms despite the current bear market.

AAVE lending protocol and synthetic derivatives trading platform Synthetix, in particular, rank third and fifth in terms of average fees paid over the past seven days, with $981,883 and $600,214 each.

Like Uniswap, AAVE saw a spike in fees on June 15 as their total increased by 69% to $1.44 million. Its native AAVE token has also risen by 22% since then.

The rise of Sythentix has been most notable. The platform saw a whopping 928% increase in fees paid out between June 11 and 13, when the figure rose to $843,297. Then by June 17, total fees fell to about $400,000, rising another 150% to about $1 million on June 19.

The boom can also be seen by looking at native asset Synthetix SNX, which is up 105% in price since June 19 and stands at $3.08 at the time of writing. The key reason for this appears to be a proposal to improve Synthetix 120 which was live last week, which allows users to “atomically exchange assets without commission refunds”, which increases the speed of trading.

However, despite this trend, fees on the Compound lending platform have been declining since April, with a seven-day moving average of $11,753 over the past week, although the COMPound native token has risen 16.7% over the period to $40.50.