In light of debates like Ethereum changing Bitcoin, Ethereum killers taking control of ETH, etc., the comparison between SushiSwap and Uniswap is no surprise.
When talking about a platform like SushiSwap flipping Uniswap, however, the conversations and comparisons should be more nuanced. Why? Well, because the first is a clone of the second. But does SushiSwap have any chance of surpassing Uniswap and becoming DeFi’s most powerful DEX platform?
Competitive Advantages of SushiSwap
SushiSwap was initially started to incentivize Uniswap volumes to migrate to a new platform. However, shortly after its launch in late August, SushiSwap had absorbed about 37% of Uniswap’s daily volume, according to the report.
Additionally, SushiSwap’s steady growth helped the network regain more than a third of Uniswap’s volume, while at the same time surpassing its previous all-time TVL high.
The total supply of SUSHI tokens has been limited to 250 million tokens and new token issuances are decreasing on a monthly basis. The new SUSHI tokens are issued through incentivized liquidity pools.
SushiSwap has seen a lot of innovation since the late 2020s with the introduction of Onsen. It’s a revolving menu of community-governed incentivized liquidity funds towards the end of 2020. This was followed by BentoBox, an integrated token vault, Kashi, a margin trading system, and Miso, a token launch pad.
Additionally, SUSHI’s integration with Yearn Finance gives SushiSwap a reliable source of income, as SushiSwap would be the default exchange system for all other Yearn-related applications.
Uniswap’s market dominance
Nonetheless, Uniswap has clearly dominated the market, with its total locked value outperforming SushiSwap by nearly 40%.
Additionally, the launch of Uniswap V3 on Optimism is a new step towards scaling, and Optimism’s main partnership is expected to find its way to an alpha release. It will be fascinating to see where they are trying to direct liquidity and volume after the above occurs and what effect it has on SushiSwap.
Therefore, although Uniswap is still far ahead of SushiSwap, the latter has become one of the most popular Ethereum-based DEXs. SushiSwap has also significantly differentiated itself from Uniswap by offering features such as incentivized groups, margin trading, and yield generation.
While SushiSwap may have started out as a Uniswap clone, its ecosystem has developed differently in recent months. However, as far as changing UNI, that doesn’t seem to happen anytime soon.
This is a machine translation of our English version.