SushiSwap is an AMM built around a single service: the sharing of sushi. While Sushi serves to connect SushiSwappers (savvy participants in a decentralized exchange) with potential SushiBuyers (decentralized buyers and sellers) through a trustless and decentralized platform, it is fundamentally a matching engine for tokens.
It can be described as an “Ethereum-based Swipe It” and “Unicorn Exchange”, although it will also feature some features that rival services like Kraken and Poloniex. The ability to use a wide variety of tokens to buy and sell sushi, along with a decentralized trading engine, give SushiSwap a distinct identity, with plans to integrate with Ethereum’s ERC20 token standard in the near future.
As per coinmarketcap the current price of Sushiswap is $8.12.
For the day-to-day price, you can follow the coinmarketcap website.
Sushiswap Price Prediction
There is a prediction that Sushiswap can go upto $25 by the year 2025.
As per the website, Sushiswap Vision is “SushiSwap protocol aims to better align incentives for network participants by introducing revenue-sharing & network effects to the popular AMM model.”
How does it work?
Users will be able to choose between three main models, based on the security level of the coin:
1. Wider market cap, so a higher coinage
2. Min. $ 1 amount = max $ 100 per block
3. Min. $ 1 amount = max $ 25000 per block With the wide market cap model, your return will depend on the initial exchange rate between SUSHI and BTC at the beginning of the trade time.
Your initial token/coinage will be limited to your available supply. In order to maintain a limited coinage, you will need to trade fairly often. The maximum monthly trading volume will also be determined by the network, based on an algorithm. Investing or trading in SushiSwap SushiSwap offers two ways to invest or trade in SushiSwap.
Why did the founders make SushiSwap?
As co-founder/CEO Calvin Chen puts it: “We are a venture-backed startup with a very talented team of engineers and designers, and we thought SushiSwap would be the ideal business to build for the crypto space.
Over the last few years, we have participated in every ICO and been involved in almost all of the top financings, from Social Reality, NextBlock, and Wanxiang Group to OFIX, MadeIn, and many more.
We have witnessed the trends in this space, and have also understood the frustrations of the community from the lack of liquidity for the most part. Our mission is to solve this issue with SushiSwap so that users are able to find an instant trade for their token of choice. We believe this model will be a major game-changer for the crypto space.” What is SushiSwap all about?
What are the benefits of using SushiSwap?
An increase in security for cryptocurrency traders Unlike other AMMs, SushiSwap has no restrictions on the trading hours for cryptocurrencies and the set minimum number of users required to add on trading pairs.
These attributes, when combined with SushiSwap’s high volume trading limits, will make SushiSwap a safer bet than other AMMs when trading cryptocurrency.
However, more advanced security features are still to be introduced to SushiSwap. These include pre-and post-trade features which allow users to exchange both a 1 for 1 or a 0 for 1, unlike SushiSwap’s current practice which requires users to only exchange a 1 for the amount of 1 on the other side of the trade. This makes exchange with more traders possible.
How can you use Sushiswap Coin and what can you do with them?
Many of the modern AMMs require an initial investment to gain access, typically through private pre-sale invite-only sessions, then a public sale.
The advantage of SushiSwap is that it does not require an initial investment, as users are also able to purchase SushiSwap SPV (sushi swap units) directly through the SUSHI platform, in denominations as low as 0.001 SUSHI.
These units are a reward for trading on the platform. Each SUSHI can be used to increase the trading liquidity of a particular asset, and are represented as fractional amounts of the corresponding asset, which is why there are SUSHI 100’s and SUSHI 100,000’s.
While a peer-to-peer (P2P) service based on the blockchain could in theory solve the perceived limitations of decentralized exchange platforms, there are a number of challenges.
The most pertinent issue to consider in the medium term is that of scaling: blockchain networks are built to process transactions, which is the essence of “trading,” but they are not made to process a high volume of transactions concurrently, because at that point blockchain becomes cost-prohibitive.
P2P services such as SushiSwap are of limited use if their market makers can’t have the ability to easily connect to other similar systems when the need arises, and there is only limited scope for boosting liquidity with in-house AMMs.