How to use Uniswap V3

Uniswap V3 is a decentralized exchange (DEX) on Ethereum, allowing users to conduct transactions, provide liquidity, and other operations. The specific usage methods are as follows:

Prepare a Wallet

You need to own an Ethereum-compatible wallet, such as MetaMask or WalletConnect. Ensure that the wallet contains enough ETH to pay transaction fees, and prepare other tokens for trading or providing liquidity.

Connect the Wallet

Visit the official Uniswap website, click the "Connect" button in the upper right corner, select your wallet type from the pop-up menu, and complete the wallet connection as prompted.

Conduct Transactions

• Search for Tokens Enter the name or contract address of the token you want to buy or sell in the input box at the top of the homepage, and the system will automatically identify it.

• Adjust Quantity and Price Range Set the quantity of tokens to be exchanged, and Uniswap V3 will automatically calculate the corresponding exchange rate based on the current market conditions. You can also set an acceptable price range to control transaction risks.

• Confirm the Transaction After completing the above settings, click the "Swap" button. A wallet confirmation window will pop up. After confirming that the transaction information is correct, click "Confirm" and wait for the transaction to be completed.

Provide Liquidity

• Select a Pool Find the "Add Liquidity" option at the bottom of the homepage and enter the combination of the two tokens for which you want to provide liquidity.

• Set Price Range and Capital Amount Enter the amount of capital you want to invest and set the price range for providing liquidity. This step is crucial because Uniswap V3 introduces the concept of concentrated liquidity. Reasonably setting the price range can improve capital efficiency and increase profits, but it also requires cautious selection to reduce the risk of impermanent loss.

• Review and Confirm the Transaction After checking that the input information is correct, click "Submit", then use your wallet to finalize the confirmation and complete the liquidity provision operation.