Uniswap Labs Opens TJAR Fee Tool To Apps Starting With Robinhood

TL;DR

• Uniswap Labs launched TJAR, an open-source tool that allows applications to convert the fees they collect into tokens of their choice.
• Robinhood is the first integration partner and is already converting fees collected through the Uniswap API into USDC and USDG.
• The technology builds on Token Jar, which processed more than $15.3 million in conversions in September. TJAR is already live on seven blockchains.

Uniswap Labs opened its fee conversion system to other applications through TJAR, an open-source tool that allows platforms to convert the tokens they collect as revenue into an asset of their choice.

Robinhood is the first partner to integrate the technology. The company is already using TJAR to convert fees collected through the Uniswap API across multiple networks.

The tool builds on Token Jar, a mechanism originally developed to manage the protocol’s fees. According to the company, it processed more than $15.3 million in conversions in September.

Uniswap Automates Fee Conversion Across Different Tokens

Applications operating across multiple blockchains can collect fees in numerous assets. Converting that revenue has traditionally required them to develop their own token exchange and management infrastructure.

TJAR allows applications to deposit fees into a contract called Token Jar, where external participants known as searchers compete to acquire the accumulated assets.

Each application specifies the token it wants to receive and the required amount. Participants can pay that amount through a contract called Releaser and receive the deposited assets in exchange.

The system does not automatically assign an individual price to each token. Searchers decide whether to accept the conversion terms, and payment is sent to the recipient designated by the application.

Uniswap uses this mechanism to receive UNI and send it to a burn address. Other platforms can select different tokens and determine where they want to receive the funds.

The settings can be changed later or permanently locked. Protocol governance may also introduce an additional fee for the protocol, although none is currently in place.

Robinhood Integrates TJAR to Receive Fees in Stablecoins

Robinhood is already using TJAR across the blockchains supported by its Uniswap API integration. Fees are converted as they come in, and the platform receives the funds in the stablecoins USDC and USDG.

The two companies have other technology integrations. Uniswap’s trading protocols operate on Robinhood Chain, while its web app, wallet, and API support Robinhood Stock Tokens.

The new tool allows Robinhood to manage revenue collected across different networks without developing a separate conversion mechanism for each one.

According to the protocol, TJAR is already available on seven blockchains, and any developer can deploy a Token Jar in a single transaction.

The company has also made the source code, deployed contract addresses, and audit reports available to interested teams. It also said more integration partners will follow Robinhood.