Recently, the rise of UNI is not without reason. A major proposal is currently voting—UNIfication (activating protocol fee switch + direct burn of UNI)—which is the main driving force behind the price increase.

**Current Voting Status Overview**

The voting period started around mid-December and is expected to conclude before or around Christmas. Data shows an overwhelmingly high support rate—early temperature checks received over 63 million support votes for UNI, with opposition almost negligible. The final on-chain voting phase is underway, with predicted market data indicating an over 85% probability of passing. Compared to the few opposition votes, the 47K+ supporting votes clearly reflect a strong market consensus.

**Burning Instead of Dividends, This Is Key**

Many are concerned about whether they can profit directly if the proposal passes—the answer is no direct dividends. But that doesn’t mean there are no gains. The core of the proposal involves two actions:

First, if approved, the protocol will activate the fee switch, deduct a portion of transaction fees, and use these fees to buy back and burn UNI directly on the secondary market. This is a purely deflationary mechanism, with no tokens distributed to holders.

Second, there will be a one-time burn of 100 million UNI, accounting for 10-15% of the circulating supply, worth over $500 million. This large one-time burn is enough to reshape long-term growth expectations for the token.

**Imagination of Indirect Benefits**

Although there are no dividends or staking rewards, the indirect benefits are quite substantial. A decrease in circulating supply means each holder’s relative UNI value increases. Coupled with protocol revenue being tied to UNI burns, this can push prices higher in the long run. This value capture method is similar to some top DEXs or derivative protocols—using a deflationary mechanism rather than direct distribution, making the token the ultimate beneficiary of protocol income. Most importantly, you don’t need to stake or lock tokens to benefit—just hold, and all holders automatically benefit.

A few years ago, there was discussion about UNI staking fee sharing, but the UNIfication proposal ultimately chose a pure burn route, which is a clear directional choice.

**Data Snapshot**

As of recent observations, UNI price has been oscillating between $6.0 and $6.3. During voting, volatility tends to be higher as the market digests this major governance event. Based on the schedule, the vote will be revealed in a few days, and the results will become clearer then. In any case, this upgrade to the UNI economic model is a tangible change, but it’s important to recognize—it’s not traditional dividends or staking rewards.