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Uniswap, Lido, Aave?! How Token Buybacks Are Quietly Centralizing DeFi

Published on November 12, 2025

Categories: Defi Tokenomics Governance Market Analysis

This article critically examines how token buyback mechanisms, exemplified by Uniswap's 'UNIfication' proposal to use protocol fees for buying and burning UNI tokens, could inadvertently lead to greater centralization within DeFi protocols such as Uniswap, Lido, and Aave. The author draws parallels to traditional corporate share repurchases, suggesting a potential deviation from decentralized principles.

When Uniswap’s administrators filed their “UNIfication” proposal on Nov. 10, it read less like a protocol update and more like a corporate overhaul. The plan would activate dormant protocol fees, channel them through a new on-chain treasury engine, and utilize the proceeds to purchase and burn UNI tokens. This is a model that mirrors share-repurchase […]

The post Uniswap, Lido, Aave?! How Token Buybacks Are Quietly Centralizing DeFi appeared first on CryptoSlate.

Sentiment Snapshot

AI-powered sentiment analysis for coins mentioned in this briefing.

LDO -3

AAVE -3

UNI -6

Social Media Prompt

A conceptual image depicting a decentralized network structure with faint lines, being subtly pulled towards a more solid, centralized corporate icon by chains of tokens. The background could feature a blockchain ledger, emphasizing the tension between decentralization and traditional finance.