Uniswap establishes the DUNI legal entity in Wyoming, paving the way for revenue sharing with users.

Uniswap (UNI) increased by 3% on Monday after the Uniswap Foundation announced governance proposal DUNI, in accordance with the Decentralized Unincorporated Nonprofit Association (DUNA) of the state of Wyoming. This proposal aims to establish a legal governance framework for Uniswap under Wyoming law, while also paving the way for revenue sharing with users.

The Uniswap Foundation plans to establish a new legal entity named DUNI, based on the DUNA framework, to allow the DAO to operate as a recognized nonprofit organization with legal personality and liability protection. Wyoming Senator Cynthia Lummis congratulated this move, emphasizing that the state's digital asset law is "top-notch" in the U.S.

The UNI price table will help Uniswap DAO collaborate with service providers, sign contracts, comply with regulations while still maintaining decentralization. Additionally, DUNI addresses the long-standing limitation of adjusting protocol fees due to legal concerns. If approved, Uniswap will propose for delegators to receive revenue from the protocol.

The proposal also allocates 16.5 million UNI to pay past tax debts and establish a "legal protection" fund, estimating the settlement with the IRS to be under 10 million USD. Additionally, 75,000 UNI will be paid to Cowrie for compliance management.

This move comes as U.S. regulators gradually loosen the legal environment for crypto. UNI increased by 2% in the past 24 hours following the announcement.