Is Uniswap V3 Safe?
Risk Grade: B+ (19/100)
Uniswap V3 is rated as moderate risk — some novel mechanisms, generally well-understood.
Lower risk — the most battle-tested DEX in crypto, but passive liquidity providers face systematic fee extraction by bots
The largest decentralized exchange by volume, where you can swap tokens and earn fees by providing liquidity in custom price ranges. It manages $1.6B in deposits across multiple blockchains, backed by $178M in funding. Its B- grade reflects the risk that bots steal up to 44% of trading fees from regular liquidity providers, plus a $2B governance treasury vulnerable to attack.
TVL
$1.7B
Mechanisms
8
Interactions
5
Value Grade
B+
Key Risks for Uniswap V3 Users
Automated bots front-run large trades and steal up to 44% of the fees that should go to regular liquidity providers
Providing liquidity in narrow price ranges means you lose more money than on a traditional exchange when prices swing hard
The $2B governance treasury could be drained through a flash-loan voting attack if participation stays low
Top Risk Factors
- •Concentrated liquidity amplifies impermanent loss when prices move out of LP-set ranges
- •JIT liquidity siphons up to 44% of passive LP fee revenue per trade
- •Governance treasury (~$2B) vulnerable to flash-loan-enabled voting attacks
Risk Score Breakdown
Uniswap V3's highest risk area is Interaction Severity (8/20). Here's how each dimension contributes to the overall 19/100 score:
Read the Full Uniswap V3 Risk Report
This protocol has 2 collapse scenarios. 3 high-severity interaction risks identified. See the full mechanism classification, interaction matrix, and deep-dive recommendations.
View Full Report →Considering an investment?