SushiSwap's Lingering Troubles

SushiSwap has been plagued with infighting, management issues and product delays. Roughly two years ago, when the project launched, it was DeFi’s darling on the back of the “community-owned” narrative. At its peak, the DEX had over $7B of TVL (Nov. 2021), but that figure has drawn down to ~$700M thanks to stronger competition and crypto prices declining.

Over the last year, activity on SushiSwap has been dwindling per various metrics.

Let’s start off by looking at pool creation, a proxy for how much demand there is to add liquidity for new assets. Pool creation has slowed to a crawl across various networks compared to a year ago.