Uniswap V3

Uniswap V3 receives a B risk grade (23/100) from Hindenrank, where lower scores indicate lower risk. Moderate risk — the most battle-tested DEX in crypto with an activated fee switch now generating $475M/year for UNI buybacks, 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 $1.5B in deposits across 45 blockchains, backed by $178M in funding. Its B risk grade reflects a strong security record but flags systematic bot extraction of up to 44% of trading fees from regular liquidity providers, plus a $938M governance treasury vulnerable to coordinated voting attacks.

The key risks identified for Uniswap V3 are: (1) Automated bots front-run large trades and steal up to 44% of the fees that should go to regular liquidity providers (2) Providing liquidity in narrow price ranges means you lose more money than on a traditional exchange when prices swing hard (3) The $938M governance treasury (reduced from $2B after the 100M UNI token burn) could still be drained through a flash-loan voting attack if participation stays low

Uniswap V3 scores 23/100 across eight risk dimensions: Mechanism Novelty: 3/15, Interaction Severity: 8/20, Oracle Surface: 0/10, Documentation Gaps: 1/10, Track Record: 0/15, Scale Exposure: 7/10, Regulatory Risk: 1/10, Vitality Risk: 3/10. The highest risk area is Scale Exposure at 7/10.

Among 116 rated DEX protocols on Hindenrank, Uniswap V3 ranks #13 by safety (lowest risk score = safest). Its 23/100 risk score and B grade place it among the safer DEX protocols.

Uniswap V3 scores 0/15 on the Track Record risk dimension, indicating no significant exploits or security incidents in its history. However, past performance does not guarantee future security.