Uniswap v4 leads stablecoin-to-stablecoin swaps on fees as low as a twentieth of v3's floor

Price explains most of the split between the two versions. Uniswap v4 charges 0.0005% to 0.0008% on major stable pairs ^[7], while v3's lowest tier is 0.01% ^[8], so the older version's floor is 12.5 to 20 times the newer one's ^[18]. Launched in early 2025 ^[9], v4 now handles 5.5 to 14 times v3's stable-to-stable volume ^[17], according to the Dune Analytics figures Crypto Briefing cited ^[3].

Price also sets the size of the fee pool. At those tiers, v4's monthly stable-to-stable flow generates roughly $55,000 to $112,000 in fees ^[19]. The same calculation on v3's smaller flow at its 0.01% floor gives $100,000 to $200,000 ^[20]. On those numbers the venue with a fraction of the volume pays its liquidity providers about as much as v4 does, or more ^{[19] [20]}. Both estimates assume every dollar trades inside the quoted tiers, and Crypto Briefing reported rates and volumes but not fee revenue or pool sizes.

The gap can be read three ways. Crypto Briefing's own reading is that ultra-low fees attract volume while each trade pays LPs less, so returns depend on whether the extra volume makes up the difference ^[12]. A second is that the stable leg brings traders to v4 for other trades that pay more. On the stable share Crypto Briefing gave, v4's total runs at roughly $21 billion to $31 billion a month ^[16], and the sub-basis-point tiers it quoted apply only to the stable pairs ^[7]. The third is that price is the only thing holding the flow, and whichever venue quotes lower next takes it.

One figure needs care before any of this is treated as a share of fees. Taken at face value, 47.2% of $161.4 billion is about $76.2 billion through v3 and v4 in 30 days ^[15]. DeFiLlama put Uniswap's volume across v2, v3 and v4 at more than $70 billion over 30 days ^[10], a total larger than the next three DEXes combined ^[11]. Stablecoin trading on two versions landing at or above the floor for the whole family suggests the datasets count trades differently. The 47.2% also covers stablecoin trading broadly, while the $11 billion to $14 billion figure counts only swaps where both sides are dollar tokens ^[13].

We think the third reading is closest. On the stable-to-stable leg, Uniswap gained share by pricing a billion dollars of trading at $5,000 to $8,000 in fees ^[21]. A venue that wins on those terms keeps the flow until someone undercuts it. The case against us sits in the broad 47.2% ^[2]. If most of that share comes from pairs with only one dollar leg, the stable-pair tiers do not apply, and fee revenue does follow the concentration. We would also be wrong if v4's stable pools hold so little capital that $55,000 to $112,000 a month ^[19] is a competitive yield on it.