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The comparison between SushiSwap and Uniswap comes as no surprise in light of debates such as Ethereum flipping Bitcoin, Ethereum murderers taking over ETH, and so on.
However, when discussing a platform like SushiSwap vs. Uniswap, the dialogues and comparisons must be more complex. Why? Because the former is a carbon copy of the later. But, does SushiSwap have a chance to oust Uniswap as DeFi’s most powerful DEX platform?
SushiSwap’s competitive advantages
SushiSwap was initially started off to incentivize Uniswap volumes to migrate to a new platform. However, soon after its launch towards the end of August, SushiSwap had taken around 37% of Uniswap’s daily volume, according to a report.
Furthermore, SushiSwap’s consistent expansion enabled the network to regain more than one-third of Uniswap’s volume while exceeding its previous all-time high TVL.
The overall quantity of SUSHI tokens has been set at 250 million tokens, with additional tokens being issued on a monthly basis. SUSHI tokens are created by incentivized liquidity pools.
SushiSwap has experienced a lot of innovation since the late 2020s, when Onsen was introduced. It is a revolving menu of incentivized liquidity pools that will be administered by the community until the end of 2020. BentoBox, an integrated token vault, Kashi, a margin trading system, and Miso, a token launch platform, followed.
Furthermore, SUSHI’s integration with Yearn financing provides SushiSwap with a consistent revenue stream because SushiSwap would be the primary exchange mechanism for all other Yearn-related apps.
Uniswap’s market domination
Nonetheless, Uniswap has obviously dominated the market, with its total value locked far exceeding SushiSwap’s.
Furthermore, the launch of Uniswap V3 on Optimism represents a new step towards scalability, with Optimism’s signature collaboration projected to reach an alpha release. It would be interesting to see where they try to direct liquidity and volume after the aforementioned occurs, and how this affects SushiSwap.
As a result, while Uniswap remains well ahead of SushiSwap, the latter has emerged as one of the most popular Ethereum-based DEXes. SushiSwap has also distinguished itself from Uniswap by providing features such as incentivized pools, margin trading, and yield generating.
While SushiSwap began as a clone of Uniswap, its ecology has evolved in a unique way over the last few months. However, it does not appear that UNI will be flipped very soon.