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How SushiSwap Works

Welcome to this post, where we are going to see how sushiswap works and everything it has to offer.

What is Sushiswap?

Sushiswap started as a fork of uniswap, but over time it has been differentiating itself from Uniswap and adding new features that uniswap does not have. Besides, being an Exchange for different blockchains, and not only focusing on the ethereum network as it happens with Uniswap.

Sushiswap is the most popular Exchange that includes so many networks to use in its platforms, such as ethereum, the binance Smart chain, fantom, polygon, hecho, xdai, harmony, avalanche and okex. Although in most of the less developed blockchains you will only find the classic swap and few functions, in others such as the polygon network or binance Smart chain there are very interesting new functions.

Therefore, in this post we will focus on Sushiswap on the Matic network, since lately sushi has become more popular on this network.

Sushi Polygon/Matic

Platform: Binance
Min. deposit: $10
License: Cysec

Very low commissions
Exchange with more cryptocurrencies

5/5

Like all exchanges, we find the classic swap, to exchange any cryptocurrency you want in the polygon network. You can also provide liquidity and create your lp tokens in liquidity, or by going to pool. Although as this works the same way as any other Exchange, we won’t cover it.

IDO Sushi

Comment that sushiswap also has launches of new projects, a few weeks ago they did the sake launch. Although now as there is no active launch, we can’t see it, the platform is also working on doing more launches of new cryptocurrencies through sushiswap.

Yields

One of the most interesting parts is in yields, which is the farming part of lp tokens on sushiswap. Here, you will see many different pairs with great yields that sushiswap offers to its users to bring liquidity to the protocol. Here, you are going to receive sushi and wmatic as a reward for staking on their platform. The polygon network added liquidity to sushiswap to make more people use the polygon network, and for this reason, you can get sushi and matic by staking any lp token in yields. When usually you would only get sushi. This estimated to last until 2022 rewards in sushiswap of matic for providing liquidity to the protocol. So it is one of the best ways to do farming on the polygon network and receive the token native to the network.

To provide liquidity, simply go to liquidity, create your lp token, and once you have it, click on stake and confirm in your wallet. With this, you will start receiving sushi and wmatic as a reward. If you don’t know about lp tokens and the risk of imperament loss, I’ll leave you a video so you can better understand the risks and don’t be surprised.

Bentobox

In Bentobox, sushiswap is launching different features and working on new aspects to add to sushiswap. At the moment, we only have kashi available, which is the same as lend. It is a lending and borrowing platform between users, where you can put your cryptocurrencies to be lent in exchange for a %, or borrow the one you are interested in. Here you can create the market yourself, or contribute liquidity to existing markets such as wethereum and dai. Here, you will always see a token that you contribute and the token that will be given as collateral. The same happens if you want to borrow, you will see the token you are going to receive, and the token you must put as collateral to be able to borrow.

As you will see, if you click on any of them, you will see the % of capital that you can borrow, usually around 75% of the value of the cryptocurrency you put. In addition to the annual % that you will have to pay as interest.

The interesting thing about this operation, is to create a pair or add liquidity in a pair where you think its price is going to go down, and the collateral or the token you have indicated as collateral is going to go up or stay better, than the token you lend. So, in the event that the position is liquidated due to lack of liquidity, you are going to be left with a token that you believe has greater value in the future.

Although they still do not have many different options in lend, it is very interesting to use them in tokens that you think are going to rise, also keep in mind that it is a fairly new functionality in sushiswap.

Finally, in analytics, you can find all the information inside sushiswap like the value of a token, the prices, the liquidity that is on the platform, the pairs with more liquidity and much more.

Sushi Price

To finish, to comment that previously I thought sushiswap was like uniswap but with less traffic and transactions, but I was unaware of many of the features that have been added and are working on it. Also, from seeing many people speak well of sushiswap platform, and that their token is very cheap compared to other platforms, because of everything they are adding and will be incorporating.  

I hope this video has helped you to learn more about sushiswap and some aspects you didn’t know about. Remember, if you don’t have an account with binance, you can create one below.

Platform: Binance
Min. deposit: $10
License: Cysec

Very low commissions
Exchange with more cryptocurrencies

5/5

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