SushiSwap -a decentralized exchange of cryptocurrency tokens on the Ethereum blockchain, using the code base of another popular decentralized exchange – Uniswap – that is also based on the Ethereum blockchain, which allows trading ERC-20 tokens through smart contracts. The difference between SushiSwap and Uniswap is the ability to take out loans or invest in crypto-farming. SushiSwap launched in September 2020 as a fork of Uniswap, the AMM which has become synonymous with the decentralized finance (DeFi) movement and is associated with a trading boom in DeFi tokens.
SushiSwap primarily exists as an AMM through which automated trading liquidity is set up between any two cryptocurrency assets. Its main audience is DeFi traders and associated entities looking to capitalize on the boom in project tokens and create liquidity. The platform takes a 0.3% cut from transactions occurring in its liquidity pools, while its SUSHI token is used to reward users portions of those fees. SUSHI also entitles users to governance rights.
