SushiSwap is an automatic market maker (AMM) that was designed to improve on Uniswap, one of the most popular Ethereum Daaps in the world. This Decentralized Finance (DeFi) liquidity provision platform introduces more community control mechanisms and DeFi features into the Uniswap platform. 

Unlike centralized exchanges that rely on order books to link up traders, SushiSwap utilizes smart contracts to create markets for any two tokens. It solves the liquidity problem in the market.

SushiSwap Developers

SushiSwap was founded in 2020 by the pseudonymous entity known as Chef Nomi. Little is known about the founders, but they aimed to add significant features to Uniswap such as increasing reward for network participants through its in-house token, SUSHI.

The project has two other pseudonymous co-founders, Sushiswap and 0xMaki (simply Maki). These two entities handle SushiSwap’s code, product development, and business operations. Recently, the de facto ownership of the project was passed to Sam Bankman-Fried, CEO of the derivative exchange FTX.


SushiSwap consists of several asset pools, which contain two assets, for instance, ETH and SUSHI. The automated market makers use the ratio between two assets in each pool to determine their price. SushiSwap initially focused on liquidity provider tokens on Uniswap, ERC-20 tokens. LP tokens are issued to liquidity providers when they deposit assets into pools on Uniswap. Users can exchange these tokens for the underlying deposit funds or even for other LP tokens. They can also be used on other DeFi protocols.

SushiSwap rewards the liquidity providers with a share of trading fees of the assets in the pools they provide liquidity to through the LP tokens. Some portion of the trading fees is converted back to SUSH (via SushiSwap) and distributed to SUSH token holders.   


SushiSwap enables the swapping of cryptocurrency assets by offering liquidity pools for trade pairs. SushiSwap also offers pools where users can lock their funds and earn a reward. The Opensen system, for example, pays out extra rewards in SUSHI for those who stake to it. SushiSwap also introduced Bento Box as a pool of capital where other DeFi apps can plug into. The first app on Bento is Kashi, which provides lending services with limited risk of collateral providers. 

SUSHI not only earns revenue to the users through trading and staking, but it also drives decision-making activities. Staking SUSHI-ETH LP tokens accords stakers SUSHIPOWAH, voting rights that enable the token holders to participate in the governance of the SushiSwap platform. For example, BentoBox is an idea, which came from community members who voted it through. 


SushiSwap mitigates the traditional risk of depositing funds in smart contracts by upping its users’ governing power. However, the anonymity of SushiSwap developers poses questions beyond a technical standpoint. In September 2020, for instance, Chef Nomi was involved in a conflict with users after withdrawing 38,000 in Ethereum (ETH) from SushiSwap. This move threatened the project especially considering that it was still in its very early stage of operation. Chef Nomi returned the funds and apologized to the users.

Buying SUSHI

SUSHI is available at various popular exchanges including Binance. Poloniex, and OKEx. You only need to connect your wallet with the exchange offering the token and then you can begin buying or selling the coins.  

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