Uniswap v4 Deployment on Celo: A New Era for DeFi
Uniswap v4 has been deployed on Celo to access its 600,000 daily active users, leveraging sub-cent fees to bring advanced, hook-driven DeFi to practice for a global, mobile audience.
The integration of Uniswap v4 on Celo’s Ethereum Layer 2 network marks a significant milestone in the development of decentralized finance (DeFi). This move aims to leverage Celo’s sub-cent transaction fees and make v4’s advanced, customizable functionalities commercially viable for a global, mobile-focused audience. According to Celo co-founder Marek Olszewski, this deployment is a “major step forward” for the network’s DeFi ecosystem and the broader global crypto community.
Hooks: Programmable Smart Contracts for Customizable Liquidity Pools
The defining feature of Uniswap v4, known as “Hooks,” represents a fundamental shift in the way liquidity can be structured on decentralized exchanges. Hooks are programmable plugins that allow developers to embed custom logic directly into a pool’s lifecycle. These smart contracts can trigger actions at crucial moments, such as before or after a swap or when liquidity is added or removed, transforming a static liquidity pool into a dynamic financial instrument.
In a network like Celo, where costs are paramount, the ability to develop complex, automated financial products without incurring prohibitive gas fees is critical. It enables the creation of on-chain limit orders, custom fee structures for specific assets, or time-weighted liquidity provisions that were previously too expensive or complex to deploy at scale. The deployment builds on a proven track record of Uniswap v3, which launched on Celo in July 2022 and experienced notable growth, increasing more than 15x year-over-year to process over $1.62 billion in transaction volume in 2024.
Celo’s Growing DeFi Ecosystem
Celo’s DeFi presence has expanded rapidly, with Aave and Velodrome joining the network earlier this year. Newer projects like Self Protocol use zero-knowledge verification to link identity and yield, while Mento Labs’ development of region-specific digital currencies further illustrates how Celo’s ecosystem is evolving toward localized, human-centered finance. The integration of Uniswap v4 is expected to further accelerate the growth of Celo’s DeFi ecosystem, providing users with access to advanced, customizable financial tools and products.
For more information on Uniswap v4 and its deployment on Celo, please visit https://crypto.news/uniswap-v4-taps-celos-low-fees-to-bring-defi-to-the-masses/
