It seems like the chefs over at Sushiswap have kept themselves busy, and 2021 will bring many new developments as announced today. The Dex that has established itself in a solid second place by Total Value Locked (TVL) after its partnership with Yearn.Finance, is looking to expand beyond its current roll of Automatic Market Maker (AMM).
Bentobox
One of the first developments in the Sushi universe will be the release of a lending solution called Bentobox. With a target release date set for this month, Bentobox will allow users to earn interest for providing assets for lending, as well as offer the opportunity to borrow funds from the asset pool. Bentobox Lending will be an initial step, with more functionalities being planned for future improvements.
Mirin
Sushi protocol V3 will feature a new Liquidity Pool architecture named Mirin. Mirin allows for the formation of “Subpools” that can be set up by traditional centralized exchanges. These CEXs could offer their customers the opportunity to benefit from yield producing pools. When we consider all the crypto currently held in CEXs such as Binance, Coinbase, etc., it is easy to see how important this development could be for increasing liquidity of the Sushi protocol.
Cross-Chain Development
Sushiswap is looking to break out of the blockchain constraints, and incorporate functionalities that would allow it to transact between different blockchains. Taking advantage of the Rune and Moonbeam implementations of the Polkadot chain, users would be able to trade token pairs from different blockchains.
Layer 2
The Layer 2 solution chosen to implement better scalability for their service has to be the same as the wider Yearn ecosystem. The blog states that “Zk-rollups are currently the option privileged since composability is key.” This development will be key, considering the current high cost of transactions on the Ethereum Mainnet.
Looks like 2021 will bring about a lot of changes at the sushi bar, chances are by the end of the year it will be have broken free from its unicorn-related origins.
