Ashleigh Shelf, the leader of Uniswap’s growth, has criticized a recent article by Yearn Finance founder Cronje criticizing forked protocols in the DeFi space. Schap described Yearn’s recent merger with SushiSwap as confirmation of a “stolen DApp”.
Cronje’s January 12 blog post“Building in DeFi is worthless,” lamented the risk of competitors forcing his code and combining it with compelling tokenomics in an attempt to steer users away from the products he has invested a lot of time in building. He wrote:
“I can even build the superior product, but a competitor can just use my code, and a token that contains an infinite number of mints, and they have twice the number of users in a week.”
This is exactly what happened when SushiSwap was on forked from Uniswap in late August 2020, when the new project launched a native token and yield farming program to successfully suck out more than $ 1 billion in liquidity from Uniswap.
Early December 2020 Yearn Finance merged with SushiSwap, which angered the Uniswap community. As such, the apparent hypocrisy of Cronje’s comments was not lost to Uniswap’s growth advance, which tweeted:
“One of your complaints is that anyone can steal your work on defi. And yet YFI chooses to partner with Sushi. When a legitimate dapp validates a stolen dapp-buy partnership, it simply encourages that kind of behavior. “
Shelf also addressed Cronje’s comments describing the idea of community within the crypto sector as “rubbish”, in addition to the claim that “governance and community kill innovation.”
6 / Strongly disagree that community is nonsense. Uniswap community and users evangelized Uniswap to the largest dapp on ethereum long before there was a token. The community incentive to need decentralized liquidity was enough.
– Ashleigh Schap (@ashleighschap) January 12, 2021
The thread sparked a debate among the crypto community Hasu called it “a rare look behind the curtain” at Uniswap headquarters, which revealed that the outfit sees SushiSwap as “a ‘stolen DApp’ to be avoided socially”.
FTX founder Sam Bankman Fried, who took control of SushiSwap last year, defended the cloned protocol:
This might be harsh, but I believe it. Uniswap had a long time to do anything, whatever, with its product. It didn’t. This wasn’t Sushiswap copying brand new code in real time. It was practically public domain . “
Uniswap was able to regain its position as the leading DEX by capturing value after SushiSwap’s first liquidity vampire attack in August by setting its own native token and liquidity farming rewards. However, after the UNI rewards ended in November, SushiSwap has reclaimed its billion dollar TVL by offering return premiums for the same pairs that Uniswap previously boosted.
In December, Yearn Finance announced a merger with SushiSwap in an attempt to expand its expertise in ecosystem and pool development. In total, Yearn included seven prominent DeFi protocols late last year, including SushiSwap, Deriswap, Cream Finance, Cover Protocol, Akropolis, Bounce Finance and Pickle Finance.