Sushiswap: The Yield Farming Platform that Caused Defi-Mania
Weekly Analyst Thoughts
Last week was Defi mania for crypto. One reason why Defi reached such a frenzy this week was because of the launch of Sushiswap. Sushiswap incentivizes Uniswap liquidity providers to deposit their pool tokens on Sushiswap’s platform to start earning Sushi. Below are some rewards that one could earn if they deposit their Uniswap tokens on Sushi’s platform.
Source: https://sushiswap.org/farms ***Note: One needs to connect their metamask wallet in order to view these returns on this page ***
As you can see, there are a multitude of opportunities to earn Sushi with different pools and generate outsized returns! Here is a six-step process to start earning Sushi if one wants to dive into Defi mania:
- Acquire Ethereum
- Go to Uniswap and swap Ethereum for a pool token that is available on Uniswap (Ex: UMA)
- Add Liquidity on Uniswap with ETH & UMA (Approve then supply the collateral)
- Go to sushiswap.org and unlock your Metamask wallet
- Approve and Supply the UMA and ETH LP tokens in the Sushiswap liquidity pool
- Harvest the Sushi that you are now farming!
Jacob Stelter | Blockchain Analyst