How to Buy Sushiswap SUSHI Tokens in Canada

“You can think of SushiSwap as a type of decentralized exchange (DEX) called an automated market maker (AMM) based on smart contracts.”

SushiSwap was founded in 2020 by a group of anonymous creators who go by the names Chef Nomi and 0xMaki. SushiSwap is an automated market maker (AMM), meaning that it uses a pool of crypto funds provided by its users to allow for the swapping of cryptocurrencies on the platform. SUSHI is the native token of SushiSwap and lets holders vote on changes made to the platform, alongside the opportunity to earn additional rewards through staking.

If you are wondering how to buy SUSHI tokens in Canada, Netcoins is a publicly-traded, fully regulated crypto trading platform based in Canada. With 0% funding fees, free cash withdrawals, and live customer support service seven days a week, we make it simple for Canadians to buy SushiSwap (SUSHI) and other cryptocurrencies.

How Much SushiSwap Can I Buy?

SUSHI, like other cryptocurrencies, are highly divisible. You can buy a whole SUSHI token or fractions of it. When opting to buy SUSHI, using a platform like Netcoins allows you to buy whatever dollar amount of SUSHI tokens you’d like.

Several options are available to fit your investing strategy; whether it be buying a single token, several tokens, or fractions of a token. Buying SUSHI tokens in regular intervals (like days, weeks or months) is known as dollar-cost averaging and can be a great way to average out the price you buy at. All of these options are available on Netcoins, Canada’s first publicly-owned, fully regulated cryptocurrency exchange.

 

Is SushiSwap Safe? 

SushiSwap presents an exciting value proposition as a decentralized platform, mainly because it allows you to swap between cryptocurrencies. However, there are risks to understand, which may impact the long-term performance of both SushiSwap as a platform and its native SUSHI token.

Like all cryptocurrencies, SUSHI can be volatile and has experienced significant swings in price since its inception. 2021 was an impressive year for SushiSwap, which saw over 180% price appreciation throughout the year. Despite that, volatility continues to be present and needs to be accounted for as a risk present in SUSHI and all cryptocurrencies.

To date, SUSHI’s liquidity pools have never been breached, which is a good sign for its investors. However, they did experience a hack with their newer product, Miso, which totalled around $3 million USD back in 2021. The DeFi space is prone to hacks, and aside from that one instance, SushiSwap has arguably done a good job keeping its platform hacks to a minimum. Having said that, the risk continues to be present and should be accounted for before making an investment in SUSHI.

Competition is an additional thing to keep in mind that may impact the adoption of SushiSwap over a longer time frame. Although SushiSwap has differentiated itself, larger platforms like UniSwap are trying to accomplish similar goals. So further innovation and development will be necessary to stay ahead of other platforms with the product offerings.

Looking beyond the risks of SUSHI, the future of the token will depend heavily on the adoption of SushiSwap as a platform and the belief that it’s a savvy investment for the future.

 

What Can You Do with SushiSwap? 

SushiSwap offers investors opportunities to generate wealth through a variety of different products. SUSHI is often treated as a long-term investment that can be held in the hopes of generating price appreciation. However, additional things can be done with your SUSHI tokens beyond the simplicity of holding them.

By transferring your SUSHI holdings to an external wallet, you are able to connect them to the SushiSwap platform, enabling you to earn passive income through staking. This process enables you to earn additional rewards, maintain control of your SUSHI, while also remaining exposed to its price movements. The staking rewards are generated through a mix of fees collected on the SushiSwap platform whenever a swap occurs.

As a governance token, holding SUSHI also gives holders the opportunity to vote on the development and changes involving the SushiSwap platform. Doing so allows you to have an impact on the future of SushiSwap, and the way it changes in the future.

The SushiSwap platform itself gives users a chance to take control of their cryptocurrencies and stretch the limits of what is possible through a variety of different products. Sushiswap, the automated market maker, is the core of the platform and lets users swap their cryptocurrencies for others. Kashi is an extension that allows users to lend and borrow crypto, further exploring substitutes to the traditional finance space. BentoBox is a product that acts as a vault in which users can deposit their crypto to generate yield on their investments. Finally, Miso is a product that lets users launch their own crypto on the Sushi network.

As the crypto market continues to grow and expand, SushiSwap has a variety of products that will prove useful for users around the world. Here are four more reasons why people invest in SUSHI. 

SushiSwap is decentralized. No single institution or person controls the SushiSwap platform, which helps to maintain its integrity. SushiSwap allows users to swap cryptocurrencies without intermediaries.

There is a finite supply of SUSHI tokens. There is a maximum supply of 250,000,000 SUSHI tokens that will ever exist, making it a hedge against things such as inflation. 

Opportunities to earn. SushiSwap offers investors opportunities to generate wealth through a variety or products like Kashi, BentoBox and Miso. 

SUSHI is a governance token. As a governance token, holding SUSHI gives holders the opportunity to vote on the development and changes involving the SushiSwap platform.

What is SLP & What are the Fees in SushiSwap? 

Liquidity pools on SushiSwap allow anybody to contribute liquidity. After doing so, they get rewarded with SushiSwap Liquidity Provider tokens (SLP tokens). If users deposited $SUSHI and $ETH into a pool, they would receive SUSHI-ETH SLP tokens. These tokens represent a proportional share of the pooled assets and let users withdraw their funds at any time.

The great thing about SushiSwap is its flat fee of 0.3%, which does not change. The process involves no “gas fees”; the 0.3% trading fee is applied when swapping any pair of tokens. Most of these fees go to liquidity providers, while the rest going to those who stake their SUSHI tokens.

 

SushiSwap vs. UniSwap: What’s the Difference?

The relationship between SushiSwap and UniSwap is deeply intertwined. UniSwap was created in 2018 on the Ethereum network and was a pioneer in developing the cryptocurrency swap. In the decentralized finance space, UniSwap grew very quickly and sparked several other projects trying to accomplish similar goals. In 2020, SushiSwap was launched as a fork of UniSwap to improve it and create a better product for crypto investors.

Since then, SushiSwap has evolved significantly by creating a user-oriented platform. Their large variety of products spans a wide variety of topics within the finance space, allowing users to earn rewards and access features such as liquidity mining, lending, and margin trading.

Although UniSwap is currently the larger platform using metrics such as trading volume, SushiSwap has the potential to create a lasting impact on the decentralized finance space through its unique take and innovative platform offering.

This post is for informational purposes only. For proper financial advice, we recommend you speak to a financial advisor.