UNISWAP

DESCRIPTION OF EVENTS

"Swap, earn, and build on the leading decentralized crypto trading protocol." "Uniswap is an Ethereum exchange, built using smart contracts and liquidity pools, as opposed to the order book of a traditional centralized exchange (CEX), such as Binance. With any Ethereum wallet, users can simply connect to the Uniswap application and effortlessly exchange ERC20 tokens without first sending them to the exchange platform account."

"[T]he development of Uniswap was facilitated by Vitalik Buterin’s idea for a decentralized exchange (DEX), which would involve an automated market maker. Actually, the protocol developer himself, Hayden Adams, at first tried to just practice development on Solidity, and later this hobby brought him several grants and $100 000 from the Ethereum Foundation. Now the project went far beyond just entertainment and became one of the most important components of the entire DeFi industry."

"[T]he popular decentralized token swap platform launched its long-anticipated native token called UNI. The announcement was accompanied by news that Uniswap will airdrop 15% of UNI’s total supply to users who had used it before September 1st. Naturally, this free token rush raised the community’s attention rather rapidly."

"There are now ~71K $UNI (worth ~$1.4mm) tokens sent to the $UNI contract by ~250 claimers that will forever be stuck there. RIP."

"If you sent a token to a contract address there’s no way to get them back even if the contract’s owner wanted. Unless said contract that received the tokens had implemented a function that allows it to transfer received tokens, they are lost and stuck."

Over $1.4m worth of Uniswap $UNI tokens have been "generously donated" to the smart contract address of Uniswap. These tokens are irretrievable, since no smart contract function to retrieve them has been implemented and blockchain transactions are irreversible.

HOW COULD THIS HAVE BEEN PREVENTED?

Platforms with smart contract should implement a function which allows tokens sent to the smart contract to be returned or distributed to a team multi-sig wallet.

Check Our Framework For Safe Secure Exchange Platforms

@amanusk_ Twitter (Jun 26)
wallet transfer - I accidentally sent a token to a token contract. Can I get it back? - Ethereum Stack Exchange (Jul 24)
https://etherscan.io/address/0x1f9840a85d5af5bf1d1762f925bdaddc4201f984 (Jul 24)
Uniswap Launches Its Dedicated UNI Token: ETH Gas Prices Soar Again (Mar 5)
How Does Uniswap Work (Jun 5)
Home | Uniswap Protocol (Jul 24)
@amanusk_ Twitter (Jul 24)

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