The leading decentralized exchange, Uniswap, launched its NFT marketplace in December last year. Yesterday (22nd), it introduced a groundbreaking feature—users can now purchase NFTs using any ERC20 token, eliminating the need for cumbersome token swaps and reducing potential financial losses from unnecessary conversions.
This innovation marks a major shift in how NFT transactions are conducted, moving away from the long-standing reliance on ETH as the default payment method.
👉 Discover how to buy NFTs with any ERC20 token—no ETH required.
Why NFTs Are Breaking Free from ETH Pricing
Traditionally, most NFT marketplaces have priced digital assets exclusively in Ethereum (ETH) or its wrapped version (wETH). While this standardization simplified early marketplace development, it created friction for users who hold other popular cryptocurrencies like DAI, USDC, or UNI.
Uniswap identified two key pain points with the ETH-only model:
- Unnecessary token swapping: Not every user keeps ETH readily available in their wallet. Forcing them to convert other ERC20 tokens into ETH just to buy an NFT adds extra steps, transaction fees, and slippage risk.
- Gas cost miscalculations: Estimating the exact amount of ETH needed for both the NFT purchase and gas fees is difficult. This often leaves users with tiny, unusable fractions of ETH—commonly referred to as "dust."
To solve these issues, Uniswap has leveraged its newly developed universal router contract, unifying token and NFT trades into a single, gas-optimized swap mechanism. This allows seamless purchases of NFTs using any supported ERC20 token directly—without leaving the platform or pre-converting assets.
How to Buy NFTs with ERC20 Tokens on Uniswap
Using this new functionality is simple and intuitive:
- Browse the Uniswap NFT marketplace and select the digital collectible you'd like to purchase.
- At checkout, you’ll see a payment method selector (highlighted in red on the interface).
- Choose from any ERC20 token currently available in your connected wallet.
- Confirm the transaction through your wallet provider.
For example, instead of converting DAI to ETH, a user can directly spend approximately 410 DAI to acquire two Opepen Edition NFTs. The entire process happens within a single transaction, powered by Uniswap’s efficient routing infrastructure.
What’s Next? Multi-Token Payments Coming Soon
Currently, users can only select one type of ERC20 token per purchase. However, Uniswap has confirmed that multi-token payments are on the roadmap. In future updates, buyers will be able to split payments across multiple tokens—for instance, paying 210 DAI + 0.124 ETH for the same two Opepen Editions.
This enhancement will further increase flexibility, especially for users who prefer diversifying their spending across stablecoins, governance tokens, or yield-bearing assets without rebalancing their entire portfolio.
👉 See how seamless multi-token NFT transactions could transform your crypto experience.
The Bigger Picture: Interoperability Meets User Experience
Uniswap’s move reflects a broader trend in Web3: prioritizing user-centric design over protocol rigidity. By removing artificial barriers between different token standards, the platform enhances liquidity flow and encourages wider adoption of NFTs beyond speculative collectors.
This update also aligns with Ethereum’s evolving ecosystem goals—improving capital efficiency, reducing friction in decentralized applications (dApps), and enabling more complex financial interactions at the smart contract level.
From a developer perspective, integrating such cross-asset functionality was previously challenging due to gas limitations and fragmented routing logic. Uniswap’s universal router solves this by aggregating trade paths across both tokens and NFTs, optimizing execution while minimizing costs.
Core Keywords Driving the Change
Understanding the significance of this update requires familiarity with several core concepts:
- ERC20 tokens: The standard for fungible tokens on Ethereum; includes stablecoins like DAI and USDT, as well as utility tokens like UNI.
- NFT marketplace: A decentralized platform where non-fungible tokens representing digital art, collectibles, or assets are bought and sold.
- Gas optimization: Techniques used to reduce transaction costs on Ethereum, crucial for improving usability.
- Token interoperability: The ability for different digital assets to interact seamlessly within a single application.
- Decentralized exchange (DEX): A peer-to-peer trading platform operating without intermediaries.
- Smart contract routing: Automated logic that determines the most efficient path for executing a trade or purchase.
These keywords not only define the technical foundation of Uniswap’s innovation but also represent key search intents for users exploring next-generation crypto experiences.
Frequently Asked Questions (FAQ)
Q: Can I use any ERC20 token to buy NFTs on Uniswap?
A: Yes, as long as the token is supported by Uniswap’s routing system and available in your connected wallet, you can use it to make direct NFT purchases.
Q: Do I still need ETH for gas fees when paying with another ERC20 token?
A: Yes. While you can pay for the NFT in DAI, USDC, or another ERC20 token, gas fees must still be paid in ETH. However, some wallets offer gas abstraction solutions that may simplify this process in the future.
Q: Is this feature available on mobile devices?
A: Yes, the ERC20 purchase functionality works across desktop and mobile interfaces where Uniswap is accessible.
Q: Are there additional fees for using non-ETH tokens?
A: There are no extra platform fees. However, standard swap fees may apply if routing involves intermediate conversions behind the scenes.
Q: Will sellers receive payment in the buyer’s chosen token or in ETH?
A: Sellers receive funds in the same ERC20 token used by the buyer, unless they have set specific receiving preferences.
Q: When will multi-token payments be available?
A: Uniswap has not announced an official release date but has confirmed it as part of their near-term development roadmap.
👉 Stay ahead of upcoming Web3 innovations—explore what’s next in decentralized trading.
Final Thoughts: A Step Toward True Financial Freedom
Uniswap’s decision to allow NFT purchases with any ERC20 token is more than a convenience—it’s a philosophical statement about ownership, choice, and autonomy in decentralized finance. By dismantling artificial silos between asset types, the platform empowers users to transact freely using the digital assets they already hold.
As the line between fungible and non-fungible tokens continues to blur, we’re likely to see more hybrid financial products emerge—NFTs with staking rewards, fractional ownership models, and dynamic pricing based on real-time market data.
For now, Uniswap leads the charge in making NFTs more accessible than ever before—no forced swaps, no dust accumulation, no unnecessary hurdles.
Whether you're a seasoned collector or new to the world of digital art, this update makes participating in the NFT economy easier, faster, and more intuitive.