Uniswap Labs is giving up creator fees on test tokens, redirecting 100% of that revenue into the protocol’s existing UNI buyback-and-burn program. The change means that every fee generated by test tokens on Uniswap’s newer launch environments now flows directly into smart contracts designed to buy UNI on the open market and permanently destroy it.
The UNIfication backstory
This latest fee redirection is part of a larger structural overhaul known as UNIfication, a governance framework approved by the Uniswap DAO in November 2025. The proposal activated the protocol fee switch, establishing vault and burn contracts to ensure that protocol-level fees contribute directly to UNI token burns rather than flowing to Uniswap Labs or the foundation.
In December 2025, the DAO initiated a treasury burn of 100 million UNI tokens, valued at approximately $600 million at the time. Protocol fees are now live on Ethereum v2 and v3 pools, generating an estimated annualized burn rate of around $26 million from those pools alone.
How TradePools and creator fees fit in
