Uniswap hit its second major milestone in less than a month as the decentralized exchange (DEX) crossed the $1 trillion figure in trading volume. The DEX had hit 3.9 million cumulative users earlier this month, another significant milestone.  The surge in trading volume is seen as an endorsement that Uniswap maintains its status as one of the top protocols in the Decentralized Finance (DeFi) space.  Significant Growth Potential  Uniswap has managed to cross $1 trillion in trading volume in just three years since its launch. This figure comes from a relatively small user base, which can be seen as a sign that there is significant potential for growth. Data from Uniswap Labs has indicated that the decentralized exchange hit 3.9 million cumulative addresses after just three years. Uniswap Labs are a significant contributor to the development of the protocol and its surrounding ecosystem.  Uniswap shared the news on Twitter on the 24th of May and observed,  “As of today, the Uniswap Protocol has passed a lifetime cumulative trading volume of $1 Trillion. Over the past three years, the protocol has Onboarded millions of users to the world of DeFi, Introduced fair and permissionless trading, and Lowered the barrier to liquidity provision.” Expanding Support  Currently, Uniswap is supported on Ethereum and several other layer-2 scaling solutions, including the likes of Optimism, Arbitrum, and Polygon. Uniswap also revealed that the decentralized exchange would be expanding to other EMV-compatible chains, the Gnosis Chain, and Polkadot-based parachain, Moonbeam.  Leaving the Competition Behind  Uniswap has become the undisputed leader in the DEX markets when it comes to trading volumes, ranking far ahead of its competition. According to data from CoinGecko, Uniswap’s V3 protocol had generated over $932 million worth of volume over the past 24 hours. This figure represents a staggering 33% of the market share. This leaves the 2nd-ranked PancakeSwap x2, which generated a trading volume of $491 million, considerably far behind.  However, the figure pales in comparison when comparing the 24-hour data with bigger, centralized exchanges. Its 24-hour volume of $938 million places it much further behind entities such as Binance ($12.2 billion), FTX (1.95 billion), and Coinbase ($1.79 billion). However, the DEX is ahead of some more prominent players in the crypto space, such as Crypto.com and Kraken.  Uniswap also boasts of nearly $6 billion in total value locked (TVL) across Polygon, Ethereum, Optimism, and Arbitrum. This is a far greater number than its competitors, such as Sushiswap and Balancer ($2.1 billion), Bancor ($631 million), and 1inch ($10 million). The only protocols that have more TVL are lending protocols Curve (9.1 billion),  Market Capitalization Still Falling  Despite the impressive numbers, Uniswap’s market capitalization has been following a downward trend for over a year. In May 2021, Uniswap’s fully diluted market cap stood at $33.3 billion, and the UNI token was priced at around $42. However, today the market cap has dropped to $5.3 billion, while the UNI token has plummeted to around $5.50. However, according to several reports, this is not unique to Uniswap, with the entire DeFi sector in the grips of a bear market since 2021, with several top protocols losing significant value. Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.