HashKey Digest Vol. 11: New Additions to SushiSwap

May 20 2021 — Messari here introduces the new additions to SushiSwap, BentoBox & Kashi. SushiSwap has developed rapidly since it was launched in August last year. The success can be largely attributed to its innovation, a strong grassroots community and a strategy that is increasingly differentiated from Uniswap.

Sushi began to transform from a mere Dex to a comprehensive financial platform. BentoBox and BentoBox-based Kashi Lending are the first batch of products.

BentoBox is a vault that can hold all kinds of assets, and the assets will interact with other dApps.

For users, a central vault can facilitate token transfer and cost, transfer fee, interaction fee and approval fee. Therefore, customers are also very likely to keep their assets in the vault, resulting in higher retention rate. After all, Ethereum’s service charges are still very expensive, and it will take some time for the launch of Layer2.

In addition, a vault can give token multiple functions at the same time, such as lending through Kashi and earning LP fees in AMM. For developers, Bentobox can give dApp immediate access to the entire assets and community of bento.

Kashi Lending is a lending and margin trading platform. Kashi is characterised by its completely isolated and independent lending pairs which are different from the capital pool model of Compound and AAVE. The risks of each pair are isolated from one another and will not be affected by a certain asset on the platform. This also limits the asset risk and oracle risk.

Kashi will achieve a utilization rate of 80–80%, and adjust supply based on flexible interest rates.

Kashi also adopts a similar fee model as Sushi, with 9% going to the platform, 90% to the asset provider and 1% to the developer.

Uniswap adopts a method similar to specialized AMM, and Sushi uses AMM as a springboard. Balancer’s V2 is similar to BentoBox and uses a vault. Its competitive strategy is similar to that of Sushi.

According to the roadmap, with the launch of BentoBox and V1 of Kashi, Sushi has demonstrated that it has the potential to be more than just an AMM. While Bento’s function and Sushi’s V3 have not been launched, they have been expanded horizontally on the chain. There will be more mergers of DeFi protocols in 2021.

Link to the original text: https://messari.io/article/sushi-bentobox-kashi-the-first-piece