Tuna Chain is a modular Layer 2 solution that functions on Bitcoin while also integrating with Ethereum. Learn more about how it works in this article.

 is rightfully known for its security through its use of 

 offers greater versatility. Until recently, blockchain projects had to choose between the two. Now, however, a hybrid solution is available that blends the benefits of both of these leading blockchains and takes a bold leap into the future.

 that functions on Bitcoin while also integrating with Ethereum.

) is strongly rooted in elevating the user experience (UX). Bitcoin is the most trusted cryptocurrency, largely due to the recognized strength of its security protocols. However, while it excels in security, it lacks the versatility that ultimately fosters innovation. In this regard, Ethereum is viewed as a superior blockchain. 

Tuna Chain’s modular Layer 2 solution works on Bitcoin through a 

 hybrid layer while offering Ethereum functionality. It uses 

-powered modularity to minimize transaction costs. At the same time, this modularity improves both trust and efficiency. Tuna Chain currently supports Solana, Ethereum and Bitcoin transactions. It works with Bybit, Phantom, MetaMask, UniSat Wallet and OKX Wallet.

Tuna Chain is a new project that was established by three unknown individuals, known under the names of Tuna Nigiri, Tuna Sushi and Tuna Sashimi. Each team member brings their unique experiences and knowledge with blockchain, cryptography and 

 to move Tuna Chain forward. Tuna Chain is financially supported by BSC News, Normie Capital, Serafund, ArkStream Capital, Cogitent Ventures, MH Ventures and other angel investors. After its Ocean Festival and Ocean Trio, Tuna Chain now has over 1.3 million wallets connected on the Tuna Chain Testnet, with a total 

The purpose of Tuna Chain is to bridge the gap between Bitcoin and Ethereum. Although Bitcoin’s chain boasts superlative security, it lacks the versatility that Ethereum’s 

 provides. As a hybrid Layer 2 solution, Tuna Chain’s primary goal is to blend the two. By doing so, its founders want to push the envelope on the future of blockchains and provide a better UX.

Tuna Chain’s functionality is based on three core features: the Toro native 

, Celestia-powered modularity and a hybrid ZK-OP layer. With the Toro stablecoin, users can purchase new digital assets through the overcollateralization of their BTC supply. Meanwhile, Celestia-powered modularity improves data availability, and the ZK-OP hybrid layer executes smart contracts with fast, secure transactions.

Rollup Solutions and Operational Mechanism of Bitcoin Layer 2

Layer 2 solutions similar to those found on Ethereum enhance Bitcoin's scalability, using technologies such as 

 (ZK). Tuna Chain enhances Bitcoin's transaction capacity by integrating optimistic rollup technology into its Layer 2 framework.

Securing Native Assets on Bitcoin: Leveraging Taproot's Upgrade

 upgrade into the Bitcoin network marks a significant advancement in the security of its native assets. This update incorporates advanced cryptographic techniques, such as Schnorr Signatures, MAST and Tapscript. To further secure these assets, Tuna Chain has implemented a multisignature security model and is exploring the addition of external validators to its network security protocols.

Tuna Chain processes transactions through a detailed system that begins with the precise arrangement and execution of transactions. These are then reliably recorded on 

's data availability layer and conclusively verified on the Bitcoin blockchain. Verifiers are essential to the chain's integrity, quickly producing fraudproofs to address any transaction discrepancies and ensure the network remains secure and reliable.

Tuna Chain is a next-level Layer 2 solution that moves blockchain into the future. Each of its core features provides unique benefits to support a superior UX. 

Tuna Chain uses Celestia-powered modularity to optimize its Layer 2 functionality. Specifically, this modularity is supported by Layer 2 data management that enhances trust, improves efficiency and reduces transaction fees.

The ZK-OP Layer is Tuna Chain’s hybrid Layer 2. This layer utilizes a dual-phase architecture that integrates Ethereum’s benefits with those of Bitcoin. By doing so, it empowers smart contracts and accelerates secure transactions.

 is a grand opening event celebrating Tuna Chain’s launch. During this grand opening, the first round of TUN tokens will be distributed. Distribution cap for this initial release is based on 

 growth driven by the community, and could range between 2% and 21%. The token supply increases by 2% as each new milestone is achieved.

, the setup experience for new community members, consists of Calm Waters, Whimsical Tides and Majestic Depths. With Calm Waters, new users can receive 60 points for following Tuna Chain on social media and linking their wallet. Additional points are available by referring friends to Tuna Chain. Whimsical Tides, the testnet phase, is still in development along with Majestic Depths.

In the first quarter of 2024, Tuna Chain successfully completed several milestones, including the launch of the Tuna Testnet — Alpha, Ocean Trio Points campaign, Ocean Festival (which highlights the TVL) and the rollout of the TunaChain Explorer. 

Moving into Q2 2024, progress is ongoing with significant developments. Tuna Chain’s team is currently deploying an optimistic rollup (OP)-based Mainnet, establishing a native bridge from Bitcoin to the Tuna Mainnet, launching a Mainnet decentralized exchange (

), and developing a modular data availability (DA) layer.

Tuna Chain functions with three primary tokens: TORO, TUNA and WOOG. Each serves a different and integral role.

TORO, Tuna Chain’s native stablecoin, helps users transform their BTC into their choice of high-yield digital assets. This is accomplished seamlessly and with full transactional stability. The user doesn’t need to liquidate the BTC to complete the transaction.

 of Tuna Chain, is used for various purposes, such as revenue generation, funding builders and contributors, benefiting token holders, incentivizing users and community members, and promoting community engagement within the Tuna Chain ecosystem.

TUNA has a total token supply of 210,000,000.

 token that acts as the primary ticket into the Tuna Chain ecosystem. Only 200 of 1,000 available WOOG tokens were distributed at the BRC-20 Launchpad event. The remaining WOOG will be distributed only when they’re activated by external forces.

Looking to get your hands on the TUNA token? Bybit will soon offer it via our 

In the meantime, you can also purchase TUNA through 

WOOG tokens grant access to the Tuna Chain ecosystem. Of the total supply of 1,000 tokens, only 200 are currently scheduled to be released. These tokens are exclusively available through the 

. There’s a purchase limit of one WOOG token. While 800 WOOG tokens will remain, they’re sealed, and their release isn’t scheduled. You must have an active Bybit account with a funded wallet to participate in the event. 

TUNA tokens play a fundamental role in governance of the Tuna Chain’s unique hybrid Layer 2 chain, designed to deliver the benefits offered by both Bitcoin and Ethereum. Tuna Chain is presented as the future of blockchain, and is poised to change the blockchain landscape in exciting ways, which could place a premium on TUNA tokens. 

As an investment, TUNA should be purchased conscientiously because the value of the tokens will decrease when additional tokens are released, even for a short period of time. In addition, all cryptocurrencies are speculative in nature, with a risk of partial or complete loss. Therefore, 

 cryptocurrencies before making an investment.

Tuna Chain is a hybrid Layer 2 solution that provides a much-needed service in the blockchain world. By bridging the gap between Bitcoin and Ethereum, it allows users to enjoy the best of both worlds. In doing so, it has the potential to move the dial forward significantly in blockchain technology. Moving forward, Tuna Chain is a platform worthy of attention.

Intermediate

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Tuna Chain (TUNA): Reinventing Bitcoin With a ZK-OP Approach

We'll guide you through step-by-step to opening an account on Bybit to start your crypto trading journey now.

With more crypto projects being launched by the day, many traders are eager to jump on the bandwagon and take advantage of these potential investment opportunities. If you’re one of them, consider riding the crypto wave with Bybit! But before you do so, be sure to 

 first. Read our detailed guide on how you can create a Bybit account to start your trading journey today!

There are two ways for you to create a Bybit account. You can choose to sign up with your email address, or with your mobile phone number, whichever is more convenient for you to use. You can also choose to sign up on your desktop or on your mobile phone. 

Please note that if your country falls under Bybit's 

, you will not be able to sign up with Bybit. 

Choose your preferred method of signing up: 

. Then, input the necessary details accordingly. 

Note that the Referral Code field is optional and can be left blank.

 will pop up. If you’re not from any of the countries listed, click on 

Complete the reCAPTCHA verification and enter the verification code that you’ve received based on your preferred method of registration. 

, you’ll receive the code in your email inbox or spam/junk inbox. If you’ve selected 

, you’ll receive an SMS code on your mobile device.

Note that the Referral Code field is optional, and can be left blank.

A window showing a list of restricted countries and regions will pop up. If you’re not from any of the countries listed, select 

Complete the reCAPTCHA verification and input the verification code that you’ve received based on your preferred method of registration. 

Once you’ve successfully registered, you can proceed to 

You can either deposit your crypto into your Bybit account from an external wallet or another crypto exchange, or 

on Bybit to start trading. There are several ways to buy crypto on Bybit. You can do so through 

 (via credit/debit card or third-party payments like Google Pay), 

After you’ve funded your account, you can proceed to explore the various Bybit products available — such as the 

Now that you’ve learned how to create a Bybit account, you can explore the Bybit platform and make trades whenever you spot potential investment opportunities. In addition, stay tuned to our 

 for educational materials to aid you in your crypto journey.

Beginner

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Bybit Sign-Up: How to Create a Bybit Account (Step-By-Step)

Notable Ethereum Spot ETF applications have come from high-profile issuers that received approval for Bitcoin Spot ETFs earlier this year. Learn more here.

The cryptocurrency landscape could be on the brink of a major shake-up as several Ethereum spot exchange-traded fund (

) applications await regulatory approval. These financial instruments promise to bridge the gap between traditional investment markets and the fast-growing world of digital assets, offering investors a regulated and accessible means for gaining exposure to 

This article explores the top pending Ethereum Spot ETF applications, exploring their significance, potential impact on the market and implications for the broader adoption of cryptocurrencies.

What Is an Ethereum Spot ETF Application?

An Ethereum Spot ETF application is a filing submitted to regulatory bodies, such as the U.S. Securities and Exchange Commission (SEC), to list an exchange-traded fund that tracks the price of Ether (ETH), allowing investors to gain exposure to the cryptocurrency without directly holding it.

How Does an Ethereum Spot ETF Application Work?

An Ethereum Spot ETF application is a formal request by a financial institution to gain regulatory approval to offer a financial product that tracks the price of Ether (ETH), the second-largest cryptocurrency and the token of the Ethereum network, in real time. 

Investors can participate in the ETF by purchasing shares through their brokerage accounts. This way, they can gain exposure to Ether's price movements without the complexities associated with directly buying or holding the cryptocurrency. The ETF provider assumes responsibility for securely holding the Ether, managing the fund's day-to-day operations and ensuring ongoing compliance with regulatory requirements.

Current Ethereum Spot ETF Application Landscape

, Fidelity, VanEck and ARK 21Shares have all thrown their hats into the ring by submitting applications to the SEC for approval. These particular issuers have previously applied to run Bitcoin Spot ETFs that are currently approved and trading.

However, the SEC has pushed back on the recent Ethereum Spot ETF applications, prolonging the decision-making process. They've also sought public feedback in order to gauge whether the arguments supporting the approval of Bitcoin Spot ETFs are applicable to Ethereum Spot ETFs as well.

Anticipation has continued to build with the approach of the final deadlines for the SEC's decisions, set for between May 23 and Jul 5, 2024 for various applicants. The SEC's review process involves assessing factors such as the potential for market manipulation and the resemblance between Ethereum spot and futures exchange-traded products.

The outcome of these applications holds significant weight, as it could shape the future landscape of cryptocurrency investment vehicles and play an important role in driving broader adoption of Ethereum within traditional financial markets. Investors and observers alike are closely monitoring these developments, recognizing their potential to influence the trajectory of both Ethereum and the wider crypto market.

Top High-Profile Ethereum Spot ETF Applications

Several high-profile financial institutions have applied for Ethereum Spot ETFs, reflecting a growing interest in cryptocurrency investment products. Following is a list of some notable contenders.

BlackRock, a global investment giant and the world’s largest asset manager, submitted its 

 Ethereum Trust, in November 2023. However, the SEC postponed its decision to late January 2024 and again to March. The SEC is currently seeking public comment on the application, particularly concerning Ethereum’s susceptibility to fraud, and has delayed its decision until Jun 11, 2024.

Franklin Templeton, another major player in the investment world, 

 for an Ethereum Spot ETF in February 2024, making it the latest contender to join several other firms in the race. The SEC has delayed the deadline to June 2024 to rule on the firm’s application. If approved, the fund will be listed on the Chicago Board Options Exchange as Franklin Ethereum ETF.

Known for its ETFs and mutual funds, investment management firm VanEck has expressed doubts about the SEC's approval of its Ethereum Spot ETF application, 

 in July 2021. Although the SEC’s decision is expected in May 2024, VanEck’s CEO has voiced his skepticism of approval by the May 23, 2024 deadline, citing the regulators' ominous silence. Notably, VanEck holds the distinction of being the first investment management firm to file an ETH Spot ETF application in the United States.

21Shares specializes in cryptocurrency exchange-traded products (

), while ARK Invest focuses on thematic investing. The two firms 

 for the ARK 21Shares Ethereum ETF in September 2023, with the SEC expected to decide by May 24, 2024. The application has been 

 to include a cash-creation model, and has proposed plans to stake a portion of the ETF’s Ether for generating additional income.

A global asset manager focused on cryptocurrencies, Hashdex 

 with the SEC in September 2023 to list and trade shares of the 

 its decision on the application, with a verdict expected by late May 2024.

Grayscale is the world’s largest digital currency asset manager, with a range of investment products that provides exposure to cryptocurrencies and the digital currency asset class. The firm 

 its Grayscale Ethereum Trust into an Ether Spot ETF in October 2023. The SEC extended the review period, setting a new deadline for June 2024. 

Invesco, an investment management firm, has partnered with Galaxy Digital, a diversified financial services firm, to create a 

 for an Ethereum Spot ETF to be named the Invesco Galaxy Ethereum ETF. The SEC's decision, expected in December 2023, has been 

Fidelity Investments is a major financial services corporation with a global presence and millions of customers. Fidelity first filed for an Ethereum Spot ETF in November 2023. It later 

 its application in March 2024 to include ETH staking, which would allow investors to earn additional income from staking rewards. The SEC has set a deadline of May 23, 2024 to approve or deny the application.

What Could Happen If an Ethereum Spot ETF Application Is Approved?

The approval of an Ethereum Spot ETF application holds significant implications for the cryptocurrency market.

Approval of an Ethereum Spot ETF could mark a significant milestone for the crypto market. It would greatly improve Ethereum's accessibility, bolster market confidence and potentially drive up Ether’s price. In addition, such an approval would represent a new milestone in cryptocurrency adoption, providing investors with a regulated and easy avenue for investing in Ethereum. Nevertheless, regulatory hurdles and market volatility are variables that could influence the timing and magnitude of the approval of the pending applications.

ethereum spot etf applications featured image

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An Overview of the Top Pending Ethereum Spot ETF Applications

Here's the step-by-step guide for you to withdraw the funds from your Bybit spot or derivatives wallet easily.

Looking to withdraw some of the profit you've earned from trading on Bybit? There are two ways you can go about doing it, depending on whether you’re making an on-chain transfer to another exchange or wallet, or an internal transfer.

Regardless of whether you’re making an on-chain or internal transfer on the web, go to 

 at the top right-hand corner of the home page and click on 

 from the drop-down list. Then, click on 

in the column of the currency you want to withdraw, or the 

Log in to your Bybit account and click on 

 at the top right-hand corner of the home page. Then, click on 

Bybit supports withdrawals for coins listed on the Spot Assets page or the Funding Assets page with an available Withdrawal button.

button of the corresponding account you would like to withdraw from.

 You will be able to select the account from which the withdrawal will be performed in the Withdrawal window. You can click on the 2 arrows icon to transfer assets from your other accounts to your Funding or Spot Accounts if needed.

Select the coin to withdraw as well as the withdrawal wallet address. You can either: 

If you haven’t added a withdrawal address yet and would like to do so, please click on 

 to set up your withdrawal address. For more details, please refer to 

 Choose the type of chain you would like. You will see the withdrawal fee amount for each blockchain network accordingly.

 Input the amount you want to withdraw, or click on 

 to make a full withdrawal. Once the chain type is selected, the minimum withdrawal limit for this particular coin and blockchain network will be displayed on the right side of the withdrawal window.

 and you’ll be directed to the withdrawal verification page. The following two verification steps are required: Email verification and Google Authentication if your wallet address is not verified.

If your address is verified in the Withdrawal Address Whitelist, you won’t need to go through the 2FA verification process, and you can submit the withdrawal request as below. To verify your withdrawal wallet address, you can follow this 

 To retrieve your email verification code, click on 

 and drag the slider to complete verification.

 An email containing your email verification code will be sent to the registered email address of your account. Please enter the verification code you’ve received.

 Please enter the 6-digit Google Authenticator 2FA security code you’ve obtained. 

. Your withdrawal request has been successfully submitted!

How to Withdraw Assets via Internal Transfer

 at the top right-hand corner of the home page and go to your 

 in the column of the currency you want to withdraw.

 Withdrawals will only be performed via your Funding or Spot Account. If you want to withdraw your assets from other accounts, please transfer assets from other accounts to your Funding or Spot Account by clicking on 

 Please select or fill in the following parameters to submit your withdrawal request:

Please ensure all information is correct before clicking on 

 and you’ll be directed to the withdrawal verification page. The following two verification steps — email verification and Google Authentication — are required if your email address and/or mobile number are not yet verified. To learn more about how to manage your withdrawal security, please refer to this page.

 and drag the slider to complete the verification. An email containing your email verification code will be sent to the registered email address for your account. Please enter the verification code that you’ve received.

 If you have not received the email, please check your spam folder or refer to 

. The verification email is only valid for five minutes.

To view your internal transfer history, please head to your 

 column. If you are the recipient, select 

How long does it take to withdraw my funds?

Instant withdrawal may take up to 15 mins to process. However, please note that in the event of high network congestion, withdrawals may take a longer time to process.

Once you’ve successfully submitted a withdrawal request, all the remaining bonuses in your account will be cleared to zero. Traders can check their withdrawal status via this link: 

Understanding the Withdrawal Status at the History

Is there a maximum amount limit for a single instant withdrawal?

Currently, yes. There's a limit on withdrawal for users that resets daily at 00:00 UTC.

The table below denotes the maximum amount of USDT that can be withdrawn at each KYC level. Note that a fixed withdrawal fee will be charged, regardless of the amount withdrawn.)

While VIP users are automatically given higher withdrawal limits, you can manually change your limit by clicking on 

. Please take note of the various withdrawal fees that are incurred for all withdrawals of any amount from Bybit. Traders can refer to the minimum withdrawal and fees stated at the withdrawal pop-up window, depending on the selected chain for funds withdrawal.

Using USDT as an example, depending on the Chain Type, the fee differs.

Withdrawal fees on Bybit are not included in the amount indicated on the screen. Therefore, users need to factor in the fees indicated to determine the final withdrawal amount. However, traders can choose to click on the 

button to withdraw all of their funds, and the system will automatically adjust the final amount, including the incurred fees.

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How to Make a Withdrawal From Bybit

DeFi

DeFi has exploded over the last year. Here, we look at one of the decentralized exchanges at the heart of this growth: Sushiswap.

SushiSwap-1068x673.png

Throughout the past year, the world of crypto has witnessed the decentralized finance (

) market grow and evolve to unprecedented levels. 

technology and cryptocurrencies are taking the financial world by storm. There has been a slew of innovative products developed to provide investors with creative ways to yield returns on their investments, such as 

SushiSwap, a relatively new decentralized exchange (

) and DeFi token with a continuously growing user base.

, one of the best-known Ethereum dApps, was the inspiration for the DEX. SushiSwap extends the platform’s group governance structures and DeFi functionality.

So, what’s all the fuss about? You’ve come to the right place if you want to learn more about SushiSwap (SUSHI). This guide will teach you everything you need to know about the project, from where it all began to the risks and benefits of SushiSwap.

 decentralized exchange (DEX) and automated market maker (AMM) with its own smart contracts. It was developed by “Chef Nomi” in 2020 and runs on the Ethereum blockchain. Decentralized exchanges have been a stable environment for peer-to-peer cryptocurrency transfers, without neither the requirements nor interference of any middlemen or third parties. Providing its own AMM ensures that assets are priced using a trading algorithm, rather than an order book in the way conventional exchanges operate.

SushiSwap is a fork of Uniswap, with several significant variations and additional features, the most notable of which is the SUSHI token. Essentially, the token serves two purposes. First, it grants holders governance privileges and entitlements unique to SushiSwap. And second, it represents a share of the protocol’s payments. SUSHI holders, to put it another way, “control” the overall protocol.

For those unaware of what Uniswap is, it is a decentralized distribution protocol that operates without the use of an order book. It uses an AMM model instead of an order book, in which liquidity suppliers add funds to liquidity pools. AMMs provide instant quotes to traders through an algorithm, as opposed to an order book, to which a trader has to refer to for a price.

The DeFi concept is inextricably related to community governance. A slew of new tokens has been released, due to liquidity mining (yield farming) as a feasible form of token delivery. The goal is to give an equal opportunity by, for instance, providing a fair distribution, depending on the sum of funds supplied.

Governance privileges are one of the primary features of SushiSwap. These privileges are awarded to token holders as a result of the token issued by these liquidity rewards. On top of this, SUSHI holders are also entitled to a percentage of the fees charged through the protocol by traders as a form of entitlement. In the case of SUSHI, anyone may apply a SushiSwap Improvement Proposal (SIP), which is then voted on by SUSHI token holders. 

As a result of this method of governance, the SushiSwap protocol can undergo minor or significant changes. SushiSwap’s creation is entirely in the hands of SUSHI token holders, rather than a more conventional team like Uniswap. DeFi protocols will benefit from a strong community. This is the idea behind SushiSwap.

In order to develop the base for SushiSwap, the founding team copied the open-source code used by Uniswap. Then SushiSwap implemented a tactic in which they offered users SUSHI token prizes if they put money in a special Uniswap pool.

Despite being young and growing in popularity, SushiSwap has had a troubled background. The project went live in August 2020, and developers decided not to perform a pre-mine. Instead, the DEX SushiSwap was founded by a pseudonymous person or collective named Chef Nomi.

Sam Bankman-Fried, CEO of FTX derivatives exchange and quantitative trading company Alameda Research, took 

 charge of SushiSwap on September 6th, 2020, and migrated tokens from Uniswap to SushiSwap on September 9.

The idea (and main purpose) behind SushiSwap is to simulate a standard market by allowing users to buy and sell various crypto assets. Tokens traded on SushiSwap are maintained by smart contracts, rather than by a single central authority. Users can also lock crypto on the software, which can then be accessed by traders. Those who sell against locked securities must pay a premium. This premium is then proportionally allocated to all liquidity suppliers, depending on the funds invested.

By first adding their Ethereum wallet to the SushiSwap farming program and then successfully combining two assets into a smart contract, liquidity providers can add to SushiSwap pools. For example, SushiSwap’s USDT/ETH liquidity pool is made up of reserves of equivalent size in USDT and ETH. Following that, buyers will exchange tokens inside the pool according to the protocol’s rules.

SushiSwap smart contracts require a buyer to give and receive the same amount of tokens in order to maintain an overall stable price pool. Suppliers are compensated with protocol payments, as well as SUSHI tokens in return for preserving liquidity in these pools.

Providers will redeem their funds as well as their “harvest,” which is the cryptocurrency gained through farming, at any time. Users can access the SushiBar software if they choose to gain more cryptocurrencies after harvesting their SUSHI. The software helps them to stake their SUSHI to earn the xSUSHI coin, which is made up of SUSHI tokens purchased on the open market and a portion of the exchange’s generated fees.

In order to use SushiSwap, you’ll need to first get your hands on some ETH. There are many options, but the most common is to use a fiat on-ramp. You first have to find a centralized exchange that accepts fiat currency and also fits your personal needs. Fiat on-ramps call for verification through proof-of-identity (POI) or proof-of-address (POA).

Next, you’ll turn the fiat currency to ETH after you’ve enrolled. Now you can get to SushiSwap. The first thing you can do when you get to SushiSwap is pick a liquidity pool. Keep in mind that AMMs like SushiSwap don’t need projects to go through any kind of verification. It’s important to always do your own research, in order to avoid rug pulls and other dubious schemes when investing.

The next step is to attach your ERC-20-compliant wallet once you’re ready. Link it to your chosen exchange platform and then deposit your crypto investments into the liquidity pool that best fits your investing plan. You can get SLP tokens after you stake your tokens. If the project’s liquidity pool grows, the value of SLP tokens rises. You can also farm these tokens to win more rewards.

In a nutshell, SushiSwap is a feature-rich clone of Uniswap. It’s taken the framework of Uniswap and added a whole ton of stuff that makes it an upgraded version on Uniswap. It began with Sushi Chef, which was a smart contract that allows Uniswap liquidity providers to store their pool tokens in exchange for SUSHI tokens. So, essentially, Uniswap liquidity providers sent their pool tokens to Sushi Chef, and Sushi Chef rewarded them with tokens.

Both liquidity providers who kept their Uniswap pool tokens with the Sushi Chef allowed Sushi Chef to remove their tokens from Uniswap pools and transfer it to SushiSwap pools on September 9, 2020. The Vampire Attack 

 in the move of nearly $1 billion of liquidity from Uniswap to SushiSwap.

Then we have SUSHI tokens. Uniswap was levying a 0.3 % tax for any exchange that was then added to the pool. SushiSwap contributes just 0.25 % of the charge to the pool, with the remaining 0.05 % split among all SUSHI holders. There are roughly three distinct classes of people to which SushiSwap most pertains traders who exchange, liquidity investors that gain 0.25 % of trading commissions, and sushi holders who earn 0.05 % of the trade fees.

When SushiSwap successfully carried out a “Vampire Attack” on the Uniswap DEX, it literally sucked out Uniswap’s liquidity. Both platforms use a very basic algorithm to automatically balance exchange pairs. They also both use the #DeFi hashtag and operate in the Ethereum ecosystem.

As we mentioned, SushiSwap is essentially an upgrade from Uniswap. Let’s take a look at some of the features and benefits associated with SushiSwap.

Uniswap pays liquidity providers, or investors, 0.3 % of all trading fees, while SushiSwap pays 0.25 % to all participating providers, with the remaining 0.05% converted into SUSHI and allocated to token holders through SushiSwap. Individuals who hold SUSHI tokens can also benefit from farming.

SushiSwap had an amazing DeFi boom very early on, quickly becoming one of the most successful DeFi investments. SushiSwap helps users keep collecting the protocol’s charge, which is denominated in SUSHI. And if a liquidity provider wishes to leave the service, he/she can still profit from the SushiSwap protocol’s rewards through SushiBar.

The Uniswap scheme, like most DeFi protocols today, rewards its providers with trading commissions as they stake their tokens. If they’re deliberately providing liquidity to the pool, this automatically happens. However, if they withdraw their percentage, they are no longer eligible for benefits. Meanwhile, liquidity providers in SushiSwap own a percentage of the pool, and have the option to retrieve SUSHI tokens in order to sell them.

SushiSwap allows consumers to win incentives for becoming active liquidity suppliers, as well as token holders. However, despite SushiSwap’s advantages, there are certain setbacks and risks associated with the project. First and foremost, SushiSwap has experienced, and been criticized for, a lack of audit. Furthermore, the project’s anonymous creators don’t have protections for the majority of users. The bulk of DeFi ventures, including those stable and audited, have been hacked with flash loan hacks and other forms of threats.

Additionally, there have been some issues found recently with regard to SushiSwap’s security. For instance, there have been errors that failed to avoid the same liquidity provider token from being inserted more than once, causing payout variables to be disrupted. A flaw that could enable funds to be stolen from the network if the owner’s private key is compromised has also been an issue.

A Beginner’s Guide: What SushiSwap (SUSHI) Is and How It Works

Grab Up to 5,000 USDT in Rewards

Grab Up to 5,000 USDT in Rewards