Victor Ugochukwu · Dec 14, 2020 . 5min read
Sushiswap shows signs of price recovery after control is passed over to CEO of FTX
With SBF releasing the ongoing Sushiswap Liquidity Migration Proposal 2.0 released, the price recovery is kicking in strong.
By Victor Ugochukwu · Sep 6, 2020 . 5min read
Sushiswap may be on a path to price recovery after Chef Nomi ceded control of the protocol to SBF, the CEO of FTX, according to recent data on SUSHI token.
Sushiswap founder was accused of exiting scam by selling off more than $10 million SUSHI token to ETH causing the token to drop to $1.20
SUSHI is the reward token provided to liquidity providers (LPs) for farming yield in the recently launched Sushiswap protocol. The DeFi protocol launched only last week by forking the Uniswap DEX codebase, thereby sparking a liquidity war.
Sushiswap’s SUSHI token price appreciated up to $10. However, it corrected to half its ATH just within a few days of launching leading. Meanwhile, more than $1.4 billion in total value locked – TVL.
DeFi experts called out Sushiswap for its aggressive way of trying to drive liquidity away from Uniswap. While cautions were flying everywhere, especially on Twitter and Reddit, Ethereum community kept voting with their funds. Clearly, Sushiswap is out for Uniswap’s jugular. However, it drove the DEX unicorn to the highly coveted billion-dollar TVL gang. At the height of the Sushiswap fever, liquidity providers locked in more than $1 billion on Uniswap liquidity pools.
Although SBF has moved swiftly after taking control of the AMM, however, the future is still uncertain. SBF has stated he will be launching a copy of the Sushiswap AMM on his Serum DEX. He will equally be allowing the original version on Ethereum to keep running also. SBF says he will also going to transferring control to a multisig wallet with the community put back in control.
Characteristically of Sam Bankman-Fried, he has moved fast to put up a vote for the Liquidity Migration Proposal. And from the results so far, more 99.9 percent vote in favour.
Latest data shows SBF’s move has put Sushiswap on a recovery path.
With SBF releasing the ongoing Sushiswap Liquidity Migration Proposal 2.0 released price recovery is kicking in strong.
Clearly, it appears the DeFi community involved with Sushiswap demonstrates huge confidence in SBF and his ability to move them to the promised land. It will be interesting to observe what happens within the next few days.
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