Today in DeFi - Serum Launch, Uniswap Sets New Record, Red Tide

𝕯𝖆𝖓𝖌𝖊𝖗

Aug 31, 2020

Serum Launches

Serum @ProjectSerum

dex.projectserum.com/#/ serum-academy.com/serum-dex/sol-…

Serum just launched. Built on Solana, it is cross-chain interoperable with Ethereum, allowing it to support the trading of Ethereum tokens in a non-custodial manner at high speed.

Uniswap Reaches New Record

Hayden Adams 🦄 @haydenzadams

🤯 Wow, @UniswapProtocol 24hr trading volume is higher than @coinbase for the first time ever 🦄 Uniswap: $426M 🏦 Coinbase: $348M Hard to express with how crazy this is.

Decentralized Exchange Uniswap has surpassed Coinbase in volume for the first time, and also achieved a record-high TVL :

All well and good for Uniswap, right? Well, until you consider the reason for the surge.
Sushiswap, an upcoming Uniswap fork with a token, has incentivized yield farming Uniswap LP tokens. This is almost certainly the cause of the increased TVL, and also probably has increased Uniswap trading volume.

The implications are far reaching

Red Tide

redphonecrypto @redphonecrypto

A raw, glistening ELI5 thread on $SUSHI (Alternate title = Sushi chef murders multiple VCs) To understand Sushi, boy, you must understand uniswap Uniswap is a decentralized exchange (DEX). You can think of it like a vending machine. More 👇

Redphonecrypto has an insightful thread explaining the dynamics and implications of the SushiSwap/Uniswap drama.

While Uniswap is the darling of DeFi, its recent raise of $11.8M has also raised a lot of eyebrows in the DeFi community. SushiSwap was made almost in direct response to this, as well as inspired by Martin Krung’s article on Vampire Mining.

By offering a more fair distribution, as well as front-running Uniswap’s token launch, Sushiswap has managed to achieve over $400M TVL, rivaling Uniswap itself.

If this liquidity migrates over to the new Sushiswap exchange - a fork of Uniswap currently undergoing audit - it would present a credible rival to Uniswap since it would have similar (or even greater) liquidity.

I highly recommend reading both redphonecrypto’s thread to understand the long term implications, as well as Martin’s article to understand the immediate implications of Sushiswap.

Please note that this newsletter does not endorse any token. Liquidity Mining is dangerous, involving both smart contract and Impermanent Loss risk. Look for audits before using smart contracts, and Do your own research.