Lately, in the crypto scene, everything related to decentralized finance is being considered a gold mine. While DeFi has brought solid projects to the industry, there’s also a hot new craze, and it’s related to food. Everything from yams to burgers is now being converted to a coin and sold like a tasty meal at a food fair, and investors can’t seem to get enough of these food-themed coins.
However, there are growing concerns over the sustainability of these DeFi projects. At the beginning of the month, Hotdog, a food-themed project, shed 99% of its value within minutes. The occurrence stirred a debate on the hype around these new projects.
It’s safe to say that right now, somewhere, a new DeFi food-meme protocol is cooking in some stove across the globe. Let’s explore some of the most popular meme tokens that have hit the market. How legitimate do they look, and do they have solid financial and governance structures?SushiSwap/SUSHI
SushiSwap is the most recent DeFi liquidity-pool platform to emerge. With SushiSwap, anyone can participate, and investors can add their tokens into the liquidity pool to earn interest. The platform has become quite popular, as it attempts to be an improved, community-based version of the Uniswap decentralized exchange.
The token economics for its native token, SUSHI, are quite interesting, as 10% of its tokens were allocated to developers. Chef Nomi, the creator of SushiSwap, dumped all the tokens from the developer pool, worth around $13 million at the time, and later moved to distance themself from the project. Eventually, the funds were returned, and the project ended up at the hands of Chef Maki and the community.
Unlike traditional exchanges, SushiSwap is community-oriented, where users provide liquidity in return for rewards. With SushiSwap, the users are the market makers. It charges 0.3% on trades, and 0.25% is rewarded to liquidity providers while the remaining 0.05% is converted into SUS...