A DEX Operating on 14 Chains: Sushiswap
In the Defi market, some applications stand out with their specific features. They either take on a special function that others don't have, or they make a difference in the way they run things. In this context, the application that interests me the most is Sushiswap. The number of networks it operates on is growing so fast that I can't keep up. Sushiswap currently operates on Ethereum, Binance Smart Chain, Polygon, Okex, Avalanche, Arbitrum, Heco, and a bunch of other chains, and new networks are added every week.
Sushiswap currently ranks third among all decentralized exchanges with a locked value of $5.9 billion. It is quite striking that it has surpassed Uniswap, of which it is a clone, in terms of total locked value. It reminds me a bit that Hive has outstripped Steem in many metrics.
I am using Sushiswap on the Polygon network. The advantage of using Sushiswap on the Polygon network is near-zero transaction costs. On this platform, it is possible to make high-yield liquidity pool investments to earn Matic and Sushi as rewards.
Sushiswap was founded last fall by an anonymous developer named Chef Nomi. Although it started as a clone of Uniswap, over time it was listed by reputable exchanges such as Binance and Coinbase. Sushi is 80th in terms of market cap as of today.
Sushiswap has similar TVL values to Pancakeswap and Uniswap but has a much lower overall valuation. You can compare the Defi metrics of the relevant platforms via the link https://defillama.com/protocols/dexes.
By the way, I would like to note that lending transactions can be made on Sushiswap as well as swap transactions. There are attractive options for those who want to invest without taking the risk of Impermanent Loss.
Dex coins are known for having high inflation. With these aspects, it is said that it is better to earn them instead of buying them. The fact that Uniswap's cryptocurrency Uni has 50% inflation and Pancakeswap's cryptocurrency Cake has 80% inflation, confirming this view. On the other hand, I want to note that the inflation of Sushi is 10%. (Source: https://messari.io/screener/340B7D0D ) Sushi coin hard cap is 250 million units. Currently, 87% of these coins have been produced and the last coin will be minted in 2023.
xSushi is the management token of Sushiswap and it is a stackable coin. Sushi describes itself as a community-driven coin, and ownership of xSushi provides the opportunity to participate in management.
After this information on fundamental analysis, let's examine Sushi's price movements. The price development of Sushi since its launch is given below. After experiencing a serious rise in the first quarter of the year, when Defi's popularity was at its peak, it regressed and maintains a horizontal movement in the third quarter.
I still have not invested in Sushi by paying, I am saving the Sushi I earn from the liquidity pools though. However, as a result of today's article, I have come to the point that Sushi can be a good investment 😊
Currently, platform cryptocurrencies such as Solana, Avalanche, Polkadot, Terra, and NFT-related projects are making a premium. However, I believe that Defi has many more springs and summers to experience. When that period comes, I believe that Sushi will be one of the important alternatives with its modest current valuation, support of multiple networks, and low inflation rate.
The information I have given is not investment advice. Although I am a crypto enthusiast, I am not an investment expert.
Thank you for reading.
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