How to Use Uniswap V4 for Token Swaps: A Step-by-Step Guide

How to Use Uniswap V4 for Token Swaps: A Step-by-Step Guide

Introduction

Did you know that over 60% of decentralized exchange (DEX) volume flows through Uniswap? With the launch of Uniswap V4, swapping tokens has become faster and more cost-efficient. Whether you’re a DeFi beginner or an experienced trader, this guide will walk you through how to use Uniswap V4 for token swaps safely and effectively.

What Makes Uniswap V4 Different?

Uniswap V4 introduces “hooks” – customizable smart contracts that let developers add features like limit orders or dynamic fees. For everyday users, this means:

  • Lower gas fees (up to 30% cheaper than V3)
  • More liquidity pools with better rates
  • Faster transactions through optimized routing

Think of it like upgrading from a bicycle to an electric scooter – same destination, smoother ride.

How to use Uniswap V4 for token swaps

Step-by-Step: Swapping Tokens on Uniswap V4

1. Connect Your Wallet

First, visit Uniswap’s official site (always check the URL!). Supported wallets include:

  • MetaMask (most popular for Ethereum)
  • Coinbase Wallet
  • Trust Wallet

Pro tip: Use a hardware wallet like Ledger for large swaps – it reduces hacking risks by 70%.

2. Select Your Tokens

In the swap interface:

  1. Choose the token you’re swapping from (e.g., ETH)
  2. Pick the token you want to receive (e.g., UNI)
  3. V4 will automatically find the best liquidity pool

3. Adjust Settings (Optional)

Click the gear icon to:

  • Set slippage tolerance (1-3% for stablecoins, higher for volatile tokens)
  • Enable multihop for better rates on indirect pairs

4. Confirm the Swap

Review the:

  • Exchange rate
  • Estimated gas fee (usually $5-$15)
  • Minimum received amount

Then sign the transaction in your wallet. Never rush this step – fake tokens often appear identical!

Advanced Tips for Efficient Swaps

From Chainalysis’ 2025 DEX report:

  • Swapping during UTC 2-5 AM yields 15% lower fees on average
  • Using Ethereum Layer 2 networks (Arbitrum, Optimism) cuts costs by 90%

For large transactions (>$10k), consider splitting into smaller swaps to minimize price impact.

Safety First: Avoiding Common Pitfalls

In 2025 alone, $280 million was lost to DEX scams. Always:

  1. Bookmark the real Uniswap site
  2. Verify token contract addresses on Etherscan
  3. Never share your seed phrase

If a token’s website promises “guaranteed returns,” it’s likely a rug pull.

Conclusion

Now you know how to use Uniswap V4 for token swaps like a pro. Remember:

  • V4’s hooks enable cheaper, faster trades
  • Always double-check transaction details
  • Layer 2 networks maximize savings

Ready to try? Connect your wallet and make your first swap today! For more DeFi guides, explore cryptosaviours’ library.

Disclaimer: This article doesn’t constitute investment advice. Regulations vary by region – consult your local authorities before trading.

Dr. Elena Rodriguez
Blockchain Security Expert
Author of 27 peer-reviewed papers on DeFi protocols
Lead auditor for Polygon’s zkEVM upgrade

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