Learning the friendly way

If you've been exploring the world of cryptocurrency beyond Bitcoin and Ethereum, you've probably heard of Sushi. No, not the Japanese dish – we're talking about a powerful player in the decentralised finance (DeFi) space that's been making waves since its dramatic entrance in 2020.

Sushi, or SushiSwap as the platform is called, burst onto the crypto scene with what many called a "vampire attack" on Uniswap, another popular decentralised exchange (DEX). This bold move involved attracting over a billion dollars of liquidity from its competitor in just a few days.

Today, SushiSwap stands as one of the leading decentralised exchanges in the crypto ecosystem, offering a suite of financial services that go well beyond simple token swapping. With its native SUSHI token, the platform has created an ecosystem that allows users to trade, earn, lend, borrow, and more – all without traditional financial intermediaries.

What makes Sushi truly stand out is how it's putting financial power back into the hands of regular users. By democratising access to sophisticated financial tools that were once only available to privileged institutions, Sushi is helping to create a more open, accessible financial system for everyone.

What is Sushi (SUSHI)?

At its core, Sushi is a DEX and DeFi protocol that allows users to trade cryptocurrencies directly with each other without any middlemen. Unlike centralised exchanges, there's no company controlling your funds or verifying your identity – it's just you, smart contracts, and the blockchain.

Think of SushiSwap as an online marketplace where instead of a company facilitating trades, everything runs on code. It's like if eBay operated without eBay the company – just buyers and sellers interacting through an automated system.

The relationship between SushiSwap and SUSHI is important to understand:

• SushiSwap is the platform – the actual decentralised exchange and suite of DeFi services
• SUSHI is the native token that powers the ecosystem – like owning a piece of the project

The Sushi ecosystem has evolved significantly since its launch, now offering a full menu of DeFi services:

• Token swapping (the basic exchange function)
• Liquidity providing (where users can earn fees)
• Yield farming (earning rewards by supporting the platform)
• Lending and borrowing
• Token launches
• NFT marketplace
• Cross-chain functionality (operating across multiple blockchains)

When compared to other DEXs like Uniswap and PancakeSwap, Sushi stands out for its community-first approach and wide range of features. While Uniswap pioneered the automated market maker model that Sushi uses, Sushi expanded on this foundation by adding more ways for users to participate and earn rewards. 

And while PancakeSwap operates primarily on the Binance Smart Chain, Sushi has expanded to multiple blockchains, including Ethereum, Polygon, Avalanche, and more.

The history of Sushi

Sushi's history reads like a crypto soap opera – complete with controversy, drama, and unexpected twists. Grab the popcorn.

It all began in August 2020 when an anonymous developer going by the name "Chef Nomi" created SushiSwap as a fork (essentially a copy with modifications) of Uniswap's code. But Chef Nomi didn't just launch a competitor; they executed what became known as a "vampire attack" – a strategy to drain liquidity from Uniswap by offering better incentives.

Users who provided liquidity to Uniswap could stake their LP (liquidity provider) tokens on SushiSwap to earn SUSHI rewards. Then, in a coordinated event called "The Migration," over $1 billion in crypto assets moved from Uniswap to SushiSwap virtually overnight. The crypto community was stunned by the aggressive yet innovative approach.

But the drama was just beginning. Shortly after the successful migration, Chef Nomi suddenly converted a large amount of SUSHI tokens (worth about $14 million at the time) into Ethereum and withdrew it. The community viewed this as an "exit scam," and the price of SUSHI plummeted.

In a surprising turn of events, Sam Bankman-Fried, then-CEO of FTX (a major crypto exchange at the time), stepped in to take control of the project. Days later, Chef Nomi returned all the funds and apologised to the community.

Control of the project was then transferred to a multi-signature wallet controlled by several trusted community members, transitioning SushiSwap to true community governance. Since then, the protocol has seen steady development and expansion, including:

• Launch of Kashi lending platform (March 2021)
• Introduction of BentoBox, a yield-generating vault (Q1 2021)
• Expansion to multiple blockchains beyond Ethereum
• Release of Miso launchpad for new tokens
• Development of Shoyu, an NFT marketplace

Despite its tumultuous beginnings, Sushi managed to establish itself as a serious contender in the DeFi space through continuous innovation and a strong community focus.

How does SushiSwap work?

SushiSwap operates on a model called an automated market maker (AMM), which is fundamentally different from traditional exchanges. Here's how it works in simple terms:

Instead of matching buyers with sellers (the way stock exchanges work), SushiSwap uses liquidity pools – essentially big pots of cryptocurrencies that users can trade against. Imagine a vending machine that's always ready to exchange one token for another, rather than waiting to find someone who wants the opposite side of your trade.

These pools are created and maintained by liquidity providers – regular users who deposit pairs of tokens (like ETH and USDT) into the pools. In return for providing this liquidity, they earn fees from trades that happen in their pool.

When you want to swap tokens on SushiSwap, here's what happens:

1. You select the tokens you want to exchange (for example, ETH for USDT)
2. Smart contracts calculate the exchange rate based on the ratio of tokens in the relevant liquidity pool
3. The more of one token you want, the more expensive it gets (this is called "slippage")
4. A small fee (0.3% of the trade) is taken and distributed to liquidity providers
5. The tokens are exchanged directly in your wallet

The beauty of this system is that it's all handled by smart contracts – self-executing code on the blockchain. There's no company processing your trade or holding your funds; it's all automated and trustless.

Of this 0.3% fee, 0.25% goes directly to liquidity providers in the pool, while the remaining 0.05% is converted to SUSHI tokens and distributed to SUSHI stakers. This creates a sustainable revenue model where active users earn from the platform's success.

Key features of the Sushi ecosystem

Sushi has evolved from a simple token exchange into a comprehensive DeFi ecosystem. Let's explore the main ingredients in Sushi's expanding menu:

SushiSwap DEX: The heart of the ecosystem is the decentralised exchange where users can swap virtually any ERC-20 token (and tokens on other supported blockchains). With competitive rates and deep liquidity across many trading pairs, it's the foundation of the Sushi experience.

Kashi: This lending and margin trading platform allows users to borrow assets against their crypto collateral. What makes Kashi unique is its isolated risk markets – meaning a problem in one lending market won't affect others, making it potentially safer than some competitors.

BentoBox: Think of this as a smart crypto savings account. BentoBox is a token vault that generates yield on deposited assets while they're waiting to be used in other Sushi products. It's like your money earning interest while sitting in your wallet, ready to use.

Onsen: This liquidity mining program incentivises users to provide liquidity for specific token pairs by offering additional SUSHI rewards. It's named after Japanese hot springs – places where people gather and relax, much like how Onsen gathers liquidity for the platform.

Miso: A launchpad for new tokens, Miso helps projects conduct token sales with various auction types. It's like Kickstarter for new crypto projects, helping them raise funds and distribute tokens fairly.

Shoyu: Sushi's NFT marketplace allows for the creation, buying, and selling of digital collectables. While newer than some competitors, it aims to offer lower fees and better integration with the rest of the Sushi ecosystem.

Cross-chain deployment: Unlike many DeFi protocols that only exist on Ethereum, Sushi has expanded to numerous blockchains including Polygon, Avalanche, Binance Smart Chain, Fantom, and more. This multi-chain approach helps users avoid Ethereum's sometimes high transaction fees while still accessing Sushi's services.

This diverse ecosystem makes Sushi a one-stop shop for many DeFi activities, allowing users to move seamlessly between trading, earning, lending, and more.

SUSHI tokenomics

The SUSHI token is the special sauce that brings the whole Sushi ecosystem together. Let's break down how it works:

Total supply: SUSHI has no maximum supply cap. New tokens are minted at a rate of 100 SUSHI per Ethereum block (roughly every 12 seconds), though this emission rate has been adjusted through governance votes over time.

Token utility: The SUSHI token serves several important functions:

• Governance: SUSHI holders can vote on proposals to change the protocol
• Fee sharing: When staked, SUSHI entitles holders to a portion of all trading fees
• Liquidity mining rewards: Users can earn SUSHI by providing liquidity
• Platform access: Some features may require SUSHI holdings or staking

Governance rights: Holding SUSHI means having a say in the future of the platform. Token holders can propose and vote on changes ranging from technical upgrades to treasury management and new feature development.

xSUSHI mechanism: When users stake their SUSHI tokens, they receive xSUSHI in return. This represents their share of the staking pool, which constantly grows as trading fees are added to it. When users unstake, they get their original SUSHI plus their portion of accumulated fees – making it a passive income opportunity.

Staking rewards: The current APY (Annual Percentage Yield) for staking SUSHI varies depending on platform volume and the number of stakers, but it has historically offered attractive returns compared to traditional finance.

Market performance: As with many cryptocurrencies, SUSHI has experienced significant price volatility since its launch. After reaching all-time highs during the 2021 bull market, the token has settled into a more stable trading range. 

The tokenomics of SUSHI are designed to align the interests of users, liquidity providers, and token holders – when the platform succeeds, SUSHI holders benefit through increased value and fee sharing.

How to buy and sell SUSHI

Looking to get your hands on some SUSHI tokens? Here's how you can do it through the Tap app:

How to buy SUSHI on the Tap App:

1. Download the Tap app from your device's app store
2. Create an account and complete the required verification
3. Fund your account using a supported payment method (bank transfer, card, etc.)
4. Navigate to the crypto section and search for SUSHI
5. Enter the amount you want to buy
6. Review the transaction details and confirm your purchase
7. Your SUSHI tokens will appear in your Tap wallet

How to sell SUSHI on the Tap App:

1. Navigate to your SUSHI wallet in the app
2. Select the Sell option
3. Enter the amount you want to sell, and what currency you would like in return (crypto or fiat)
4. Review and confirm the transaction details 
5. Your desired currency will appear in the relevant Tap wallet

Conclusion

Sushi has come a long way from its controversial beginnings to establish itself as a cornerstone of the DeFi ecosystem. What started as a fork of Uniswap has evolved into a comprehensive financial platform that offers trading, earning, lending, and more – all without traditional financial intermediaries.

By addressing one of the biggest pain points in DeFi – high Ethereum gas fees – through multi-chain deployment, Sushi makes decentralised finance more accessible to everyday users.

As with any cryptocurrency project, Sushi faces challenges and competition, but its innovative features, passionate community, and continuous development make it a project worth watching in the years to come.

‍

‍Bitcoin and Ethereum dominate headlines, but they represent just one approach to distributed ledger technology. While most projects iterate on blockchain's foundational concepts, Hedera Hashgraph (HBAR) takes a different approach, pursuing an entirely different architectural philosophy.

The result is a network engineered for enterprise-grade performance - processing thousands of transactions per second with deterministic fees and minimal energy consumption. Where many blockchain networks struggle with the scalability trilemma, Hedera's hashgraph consensus mechanism offers a compelling alternative that doesn't sacrifice security for speed.

What distinguishes Hedera in practice is its enterprise adoption trajectory. Major corporations across finance, healthcare, and supply chain management have moved beyond pilot programs to production deployments. This isn't theoretical adoption - it's measurable network activity from organizations with serious compliance and performance requirements.

Hedera has positioned itself as one of the most corporate-friendly distributed ledger technologies (DLTs) available today. But how exactly does it work, and why does it stand apart from the blockchain crowd?

The Basics: What Is Hedera Hashgraph?

Launched in 2018, Hedera Hashgraph is a distributed ledger technology that offers a genuine alternative to blockchain architecture. Instead of organizing transactions into sequential blocks like a digital filing cabinet, Hedera uses a directed acyclic graph (DAG) structure called the hashgraph. Think of it more like a web of interconnected transactions.

This design allows multiple transactions to be processed in parallel rather than waiting in a single-file line. The result? Hedera can handle over 10,000 transactions per second (TPS) with finality in just a few seconds, while Bitcoin manages about 6–8 TPS and Ethereum handles 12–15 TPS.

At its core, Hedera is engineered to tackle three persistent challenges that have plagued distributed ledger technology:

• Transactions settle in seconds, not the minutes or hours you might wait with other networks. This makes it possible to build applications where timing actually counts.
• Scalability without the usual trade-offs, The network can handle thousands of transactions simultaneously without slowing down or getting expensive when things get busy. Most blockchains struggle with this balancing act.
• Energy use that makes sense, unlike networks that consume as much electricity as small countries, Hedera runs efficiently enough that companies don't have to justify massive energy bills to their boards.

How Hedera Works: Gossip and Virtual Voting

Hedera's performance stems from its unique consensus mechanism, which combines two clever innovations that work together like a well-orchestrated dance.

Instead of broadcasting every transaction to the entire network simultaneously (imagine shouting news in a crowded room), nodes "gossip" by randomly sharing information with a few neighbors. Those nodes then pass it along to their neighbors, creating a ripple effect. Over time, the entire network organically learns about every transaction without the communication overhead. That is known as the “gossip-about-gossip protocol”.

Virtual voting is where things get interesting: once all nodes have the same historical record of gossip, they can independently calculate how the network would vote on each transaction. No actual vote messages need to be sent across the network. The outcome is mathematically deterministic based on the gossip history, saving significant time and bandwidth.

Together, these methods achieve asynchronous Byzantine fault tolerance (aBFT), which represents one of the highest levels of security available in distributed systems. This means the network can reach consensus and continue operating even if up to one-third of nodes act maliciously or fail completely.

Governance: The Hedera Council

Perhaps the most controversial, and arguably the most distinctive, aspect of Hedera is its governance model. Instead of leaving critical network decisions to anonymous miners or distributed token holders, Hedera operates under a Governing Council of up to 39 well-known global organizations.

Current members include companies like Google, IBM, Dell, Boeing, Standard Bank, Ubisoft, and other established corporations. Each council member holds an equal vote on network decisions, including software upgrades, fee structures, and treasury management.

The rationale is straightforward: provide stability, accountability, and long-term strategic planning. However, this structure has sparked ongoing debate within the crypto community. Critics argue it reduces decentralization compared to blockchain networks where theoretically anyone can participate in governance, while supporters contend it offers the predictability that many enterprises require for serious adoption.

Key Services of Hedera

Hedera functions as more than just a payment network. The platform offers three core services that developers and enterprises can leverage to build decentralized applications:

Hedera Consensus Service (HCS): Provides secure, immutable logs of events and data. This proves particularly valuable for supply chain tracking, regulatory audits, and maintaining data integrity in heavily regulated industries like healthcare and finance.

Hedera Token Service (HTS): Enables the creation and management of various token types, including stablecoins, NFTs, and tokenized assets. Built-in features like account-level controls and compliance tools make it especially appealing for enterprises that need to meet regulatory requirements.

Hedera Smart Contract Service (HSCS): Supports Ethereum-compatible smart contracts, allowing developers to build DeFi applications, games, and automation tools while benefiting from Hedera's superior speed and substantially lower transaction fees.

Real-World Applications

Hedera's enterprise-focused approach has translated into practical implementations across multiple sectors:

• Finance: Standard Bank leverages Hedera's infrastructure for faster, more transparent cross-border payment processing.
• Supply chain: Companies like Suku and Avery Dennison use Hedera for product traceability and logistics management, providing end-to-end visibility.
• Healthcare: Safe Health Systems employs the network to securely log medical and clinical trial data while maintaining strict patient privacy standards.
• Gaming: Animoca Brands integrates Hedera's technology to create fair and tamper-proof in-game economies and digital asset management.
• Sustainability: Environmental organizations use Hedera's consensus service to track carbon credits and monitor environmental impact data with immutable records.

These implementations highlight Hedera's positioning as an enterprise-focused platform, creating a distinct contrast to networks that primarily serve DeFi protocols or retail trading activities.

Understanding HBAR: The Native Token

Like most distributed ledger technologies, Hedera operates with its own native cryptocurrency: HBAR. The token serves two fundamental purposes within the ecosystem:

• Network fuel: HBAR is required to pay transaction fees and access network services, including consensus operations, tokenization features, and smart contract execution.
• Network security: Node operators stake HBAR tokens to participate in consensus and help secure the network infrastructure.

One of Hedera's most practical advantages lies in its cost structure. A typical transaction costs approximately $0.0001, it’s economical enough to enable microtransactions and machine-to-machine payment scenarios that would be prohibitively expensive on other networks.

The total supply of HBAR is capped at 50 billion tokens. The distribution follows a controlled release schedule designed to avoid sudden market flooding while ensuring adequate liquidity for network operations.

How Hedera Compares to Other Networks

To understand Hedera's market position, it's helpful to consider how it stacks up against established blockchain models:

Proof-of-Work (PoW), exemplified by Bitcoin, is highly secure and battle-tested, but notoriously slow and energy-intensive.

Proof-of-Stake (PoS), used by Ethereum 2.0, is more energy-efficient than PoW, but can lead to wealth concentration among large token holders.

Lastly, Hedera Hashgraph uses gossip protocols and virtual voting to achieve speed, security, and efficiency simultaneously, while operating under corporate governance rather than anonymous network participants.

The trade-off is crystal-clear. Hedera prioritizes corporate trust, performance, and regulatory clarity, while accepting criticism that it may sacrifice some degree of decentralization compared to traditional blockchain networks.

The Challenges Ahead

Despite its technical strengths and enterprise adoption, Hedera faces some hurdles that could impact its long-term trajectory. The Governing Council model continues to raise questions about whether Hedera represents genuine decentralization or simply distributed corporate control, a debate that matters deeply to the broader crypto community's acceptance. Meanwhile, established networks like Solana, Avalanche, and Ethereum maintain their dominance over ecosystem development, making it challenging for Hedera to attract the vibrant developer communities that drive innovation.

The platform also faces an adoption challenge. While it excels in enterprise use cases, Hedera could broaden its appeal beyond corporate applications to achieve the kind of recognition that sustains long-term growth. Moreover, like all cryptocurrency projects, Hedera must navigate evolving regulatory frameworks across multiple jurisdictions, each with their own compliance requirements and restrictions.

Nevertheless, Hedera's focus on performance, enterprise-grade reliability, and regulatory compliance could provide resilience in certain market conditions where other projects would struggle to maintain institutional confidence.

HBAR ETF on the Horizon

Over the past several months, talk of a potential HBAR ETF has gained traction. An ETF would offer institutional and retail investors exposure to HBAR without needing to manage wallets, private keys, or direct custody. That kind of access lowers the entry-level barrier. Moreover, SEC approval of a Hedera ETF would imply a level of oversight, due diligence, and compliance that can help reduce perceived risks among cautious or regulated investors. It puts HBAR closer to the realm of mainstream finance instruments.

The U.S. Securities and Exchange Commission (SEC) recently pushed back the decision on the Canary HBAR ETF to November 8. The ETF was proposed by Nasdaq back in February; the SEC has delayed the decision twice already. Despite the most recent delay, however, market analysts remain optimistic. Bloomberg’s analysts, for instance, maintain a 90% likelihood of ETF approval in the near term.

The Future of Hedera

Hedera stands out in a crowded field by taking a completely different approach than most blockchain projects. Instead of following the usual playbook, they built something that actually works for businesses: fast transactions, costs you can predict, and energy usage that won't make your CFO cringe.

The real test isn't whether Hedera can keep doing what it's doing well. It's whether they can stay relevant as the whole distributed ledger world keeps evolving at breakneck speed. But here's the thing: while everyone else was busy trying to be the next Bitcoin, Hedera quietly built something that Fortune 500 companies actually want to use.

Whether that bet pays off long-term is anyone's guess. What's not up for debate is that they've proven there's more than one way to build a distributed ledger, and sometimes the road less traveled leads somewhere pretty interesting.

‍

Let's Talk About Getting Your Crypto to Work While You Sleep

Remember when your grandparents bragged about their 2% savings account? Those days feel like ancient history now that crypto APY percentages are floating around that would make a traditional banker faint. But hold up, before you start dreaming about retiring next month on those sweet, sweet yields, let's dive into what APY actually means and why some of these numbers look like lottery tickets.

What the Is APY, Anyway?

Think of APY as compound interest on steroids. While your bank's savings account sits there earning dust, APY measures how much your money can actually grow in a year when interest keeps building on top of interest. The faucet of passive income is now open.

Here's a reality check: Park $1,000 in your bank at 5% simple interest, and you'll have a whopping $1,050 after a year. Yawn, boring… But that same money with 5% APY compounded monthly? You're looking at $1,051.16.

"Big deal, that's only a dollar!" you might say. But here's where it gets interesting. Over time, that compounding effect turns into a money snowball rolling down a mountain. The difference between simple interest and compound interest isn't just pennies; it's the difference between walking and taking a rocket ship.

APY vs. APR: The Sibling Rivalry You Need to Understand

Okay, confession time…even seasoned crypto folks mix these up. Here's your cheat sheet:

APY (Annual Percentage Yield): What you earn when you lend out your crypto. The higher, the better for your wallet.

APR (Annual Percentage Rate): What you pay when you borrow crypto. Lower is your friend here.

Think of it this way: APY is the cool cousin who brings you money, while APR is the one who always asks to borrow twenty bucks.

For a more detailed comparison, click here.

Where Does APY Show Up in Crypto?

• Crypto "Savings Accounts"

Some platforms let you deposit your tokens and watch them multiply. It's like putting your crypto to work at a job that actually pays decent wages. Your coins get lent out to traders who need them, and you get a cut of the action.

• Staking: Become a Network Validator

With Proof-of-Stake blockchains like Ethereum or Cardano, you can "stake" your tokens to help secure the network. Think of it as being a digital security guard who gets paid in crypto. The network stays safe, and you earn rewards. Win-win.

• Yield Farming: The Wild West of DeFi

This is where things get interesting, and a bit crazy. You provide liquidity to decentralized exchanges, and in return, you earn trading fees plus shiny new governance tokens. Early yield farmers sometimes see APYs that look like phone numbers, but don't get too excited; those rates have a habit of crashing back to earth.

• Lending Protocols: Become the Bank

Platforms like Aave and Compound let you play banker. You lend your tokens, borrowers pay interest, and you collect the proceeds. APY goes up when everyone wants to borrow your particular flavor of crypto, and down when the demand cools off.

Why Are Crypto APYs So High?

While your bank offers you a measly 0.5%, crypto platforms are throwing around eye-watering numbers like 10%, 50%, or even 1,000%+. Here's why:

Crypto traders will pay premium rates to short a token or execute complex arbitrage strategies. Supply and demand at its finest.

Hype for new projects also plays a role. Fresh projects often throw ridiculous APYs at users to attract liquidity. It's like a grand opening sale, but with more zeros.

Risk gets factored in. Let's be real, crypto can get risky at times. Higher returns compensate for the white-knuckle ride.

Finally, token Incentives can play a role too. Many of those eye-popping APYs come partially from project tokens that could moon... or crater. It's the crypto Russian roulette.

The Math Behind the Magic

Don't worry, we're not about to turn this into a calculus nightmare. The APY formula is actually pretty straightforward:

Example: 10% interest compounded monthly gives you about 10.47% APY. Compound it daily? You're looking at 10.52%. In crypto, some protocols compound every block, which is like compounding every few seconds. Your calculator might start smoking.

The Fine Print

Before you quit your day job and become a full-time yield farmer, let's talk about the risks that nobody likes to mention at crypto parties. First up is volatility. Sure, your APY might be 20%, but if your token's price drops 50%, you're still in the red. Math is cruel like that. Then there's impermanent loss, which sounds harmless but can eat into your gains faster than you can say "automated market maker" when you're providing liquidity and token prices start dancing around.

Don't forget about smart contract risk, either. DeFi protocols are basically computer programs holding billions of dollars, and if they break, funds can disappear into the digital ether without so much as a goodbye note. Platform risk is equally sobering. Remember Celsius? FTX? Sometimes the platforms themselves go belly-up, taking user funds with them like the Titanic.

Last but not least, there’s APY whiplash. That jaw-dropping 100% APY you bookmarked yesterday? It might be 15% today because crypto moves fast. Rates fluctuate based on demand, new competition, token economics, and sometimes just because the crypto gods felt like shaking things up.

‍

What's a "Good" APY?

• Conservative. Sticking to blue-chip assets and reputable platforms for 3-8% APY. For the faint of heart.
• Moderate. Staking some altcoins or providing liquidity for 10-20% APY. There’s some excitement, but not heart-attack levels.
• High (YOLO). Chasing new DeFi projects for 50-100%+ APY. It’s worth keeping in mind there’s a non-zero chance your tokens might become expensive digital art.

Remember, if an APY looks too good to be true, it's probably attached to risks that would make a hedge fund manager nervous.

Crystal Ball Time: The Future of APY in Crypto

Here's where things get interesting. As crypto grows up, APYs are starting to act less like lottery tickets and more like actual financial products. Big institutions are getting into staking, regulators are paying attention, and the wild west is slowly becoming a proper town with actual roads.

It’s likely crypto will keep offering better yields than traditional finance. It's just that the 10,000% APY days are likely becoming a fond memory.

The Bottom Line

APY in crypto is the same mathematical concept your finance professor taught you, just dressed up in digital clothing and offering significantly better rates. Whether you're staking, lending, or yield farming, understanding APY helps you separate the wheat from the chaff and the legitimate opportunities from dubious schemes.

APY isn't a cheat code to infinite money. It's a tool that, when used wisely, can help your crypto actually work for you instead of just sitting in your wallet looking pretty. But like everything in crypto, it comes with risks that deserve respect and careful consideration.

It’s worth remembering the best APY in the world is worthless if the underlying project disappears into the digital sunset. Choose wisely, diversify smartly, and may your compounds be ever in your favor.

‍

Why can't a fully compliant, regulated crypto business secure a bank account in 2025?

If you're operating in this space, you already know the answer. You've lived through it. You've submitted the documentation, walked through your AML procedures, and demonstrated your regulatory compliance… only to be rejected. Or worse still, waking up to find your existing account frozen, with no real explanation and no path forward.

This isn't about isolated cases or bad actors being weeded out. It's a pattern of systematic risk aversion that's creating real barriers to growth across the entire sector, and it's throttling one of the most significant financial innovations of our generation.

We're Tap, and we're building the infrastructure that traditional banks refuse to provide.

The Economics Behind the Blockade

Let's examine what's actually driving this exclusion, because it's rarely about the reasons banks cite publicly.

The European Banking Authority has explicitly warned against unwarranted de-risking, noting it causes "severe consequences" and financial exclusion of legitimate customers. Yet the practice continues, driven by two fundamental economic pressures that have nothing to do with your business's actual risk profile.

The compliance cost calculation

Financial crime compliance across EMEA costs organizations approximately $85 billion annually. For traditional banks, the math is simple: serving crypto businesses requires specialized expertise, enhanced monitoring, and ongoing due diligence. As a result, it's cheaper to reject the entire sector than to build the infrastructure needed to serve it properly.

The regulatory capital burden

New EU regulations impose a 1,250% risk weight on unbacked crypto assets such as Bitcoin and Ethereum. This isn't a compliance requirement; it's a capital penalty that makes crypto exposure commercially unviable for traditional institutions, regardless of the actual risk individual clients present.

In the UK, approximately 90% of crypto firm registration applications have been rejected or withdrawn, often citing inadequate AML controls. Whether those assessments are accurate or not, they've created the perfect justification for blanket rejection policies.

The result? Compliant businesses are being treated the same as bad actors; not because of what they've done, but because of the sector they're in.

The Real Cost of Financial Exclusion

Financial exclusion isn’t just an hiccup; it creates tangible operational barriers that ripple through every part of running a crypto business. 

Firms that have secured MiCA authorization, built robust compliance programs, and met regulatory requirements can find themselves locked out of basic banking services. Essential fiat on-ramps and off-ramps remain inaccessible, slowing payments, limiting growth, and complicating cash flow management.

Individual cases illustrate the problem vividly as well. Accounts are closed because a business receives a payment from a regulated exchange. Others are dropped with vague references to “commercial decisions,” offering no substantive justification. Founders frequently struggle to separate personal and business finances, as both are considered too risky to serve.

The irony is striking. By refusing service to compliant businesses, traditional banks aren’t mitigating risk; they’re amplifying it. Forced to operate through less regulated channels, these legitimate firms face higher operational and compliance risks, slower transactions, and reduced investor confidence. Over time, this slows innovation, and raises the cost of doing business for firms that are legally and technically sound.

Debanking Beyond Europe: U.S. Crypto Firms Face Their Own Challenges

Limited access to banking services isn’t exclusive to Europe. Leading firms in the U.S. crypto industry have faced numerous challenges regarding the banking blockade. Alex Konanykhin, CEO of Unicoin, described repeated account closures by major banks such as Citi, JPMorgan, and Wells Fargo, noting that access was cut off without explanation. Unicoin’s experience echoes a broader sentiment among crypto executives who argue that traditional financial institutions remain wary of digital asset businesses despite recent policy shifts toward a more pro-innovation stance.

Jesse Powell, co-founder of Kraken, has also spoken out about being dropped by long-time banking partners, calling the practice “financial censorship in disguise.” Caitlin Long, founder of Custodia Bank, recounted how her institution was repeatedly denied services. Gemini founders Tyler Winklevoss and Cameron Winklevoss shared similar frustrations.

These experiences reveal a pattern many in the industry interpret as systemic risk aversion. Even in a market as large and mature as the United States, crypto-focused businesses continue to encounter obstacles in maintaining basic financial infrastructure. The issue became especially acute after the collapse of crypto-friendly banks such as Silvergate, Signature, and Moonstone; institutions that once served as key bridges between fiat and digital assets. Their exit left a gap few traditional players have been willing to fill.

Why Tap Exists

The crypto industry has reached an inflection point. Regulatory frameworks like MiCA are providing clarity. Institutional adoption is accelerating. The technology is proven and tested. But the fundamental infrastructure gap remains: access to business banking that actually works for digital asset businesses.

This is precisely why we built Tap for Business. 

We provide business accounts with dedicated EUR and GBP IBANs specifically designed for crypto companies and businesses that interact with digital assets. This isn't a side offering or an experiment, it's our core focus.

Our approach is straightforward

We built our infrastructure for this sector
Rather than retrofitting traditional banking systems to reluctantly accommodate crypto businesses, we designed our compliance, monitoring, and operational frameworks specifically for digital asset flows. This means we can properly assess and serve businesses that others automatically reject.

We price in the actual risk, not the sector
Blanket rejection policies exist because they're cheap and simple. We take a different approach: evaluating each business based on their actual controls, compliance posture, and operational reality. It costs more, but it's the only way to serve this market properly.

We're committed to sector normalization
Every time a legitimate crypto business is forced to operate without proper banking infrastructure, it reinforces outdated stigmas. By providing professional financial services to compliant businesses, we're helping demonstrate what should be obvious: crypto companies can and should be served by the financial system.

It isn't about taking on risks that others won't. It's about properly evaluating risks that others refuse to understand.

Moving Forward

The industry is maturing. Regulatory clarity is emerging. Institutional adoption is accelerating. But you can't put your business on hold while traditional banks slowly catch up to reality.

That's not sustainable in the long run.

As a firm, you shouldn't have to beg for a bank account. You shouldn't have to downplay your crypto operations just to access basic financial services. And you certainly shouldn't have to accept that systematic exclusion with little to no explanation other than “It’s just how things are."

The crypto sector is building the future of finance. Your banking partner should believe in that future too. If you're ready to work with financial infrastructure built for your business, not in spite of it, here we are.

Talk today with one of our experts to understand how we can help your business access the banking infrastructure you need.

Polkastarter represents one of the leading decentralised launchpad platforms in the blockchain ecosystem, focused on empowering early-stage crypto projects to raise funds and launch tokens. First launched in December 2020, it has established itself as a prominent player in the Initial DEX Offering (IDO) space, providing a secure and efficient environment for project launches.

The platform has facilitated the launch of over 100 projects, demonstrating its significant impact on the crypto funding landscape. Polkastarter also features a dedicated marketing team, including video production and design, providing support beyond just the technical infrastructure.

TLDR

Multi-chain launchpad: Polkastarter is a decentralised platform that enables crypto projects to conduct token sales and fundraising campaigns across multiple blockchain networks.

Fixed-price swaps: The platform's main offering is its fixed-swap smart contract, which allows projects to easily launch liquidity pools that execute orders at a fixed price, rather than using traditional AMM models.

Cross-chain support: Polkastarter currently supports Ethereum, BNB Chain, Polygon, Celo, and Avalanche, providing flexibility for projects across different ecosystems.

Native token (POLS): POLS serves as the platform's utility token, providing access to IDO participation, governance rights, and various platform benefits.

What is Polkastarter (POLS)?

Polkastarter is a decentralised launchpad platform designed to democratise access to early-stage crypto investments through Initial DEX Offerings (IDOs). The platform serves as a bridge between innovative blockchain projects seeking funding and investors looking for early access to promising tokens.

The platform's core innovation lies in its fixed-swap mechanism, which provides predictable pricing for token sales rather than the variable pricing models used by automated market makers. This approach offers greater transparency and certainty for both projects and investors during token launch events.

Beyond the launchpad functionality, Polkastarter runs an internal incubation and advisory program, bringing together experience and lessons learned from 100+ project launches to nurture and grow Web3 projects, helping to ensure that projects launched on the platform receive proper guidance and support.

The platform takes security seriously by carefully reviewing each project before allowing it to launch. This screening process helps ensure that only legitimate, high-quality projects reach investors, protecting users from scams and poorly developed tokens.

Who created Polkastarter?

Polkastarter was founded in 2020 by Daniel Stockhaus, Tiago Martins, and Miguel Leite. The founding team brought together diverse expertise in business development, technology, and product management to address the growing need for reliable fundraising infrastructure in the decentralised finance space.

Daniel Stockhaus serves as CEO and Co-founder, leading the platform's strategic direction and business development efforts. Under his leadership, the platform has grown from a startup concept to one of the most recognised launchpad platforms in the crypto industry.

The founding team recognised the challenges faced by early-stage crypto projects in accessing capital and the difficulties investors encountered in finding legitimate investment opportunities. Their solution was to create a platform that could serve both sides of this equation while maintaining high standards for security and project quality.

How does Polkastarter work?

Launchpad mechanism

To participate in token launches, users need to hold POLS tokens, with different amounts unlocking various access levels. The more POLS you hold, the better your chances of getting into popular launches and the more you can invest.

Projects set fixed prices for their tokens rather than using changing market prices. This means investors know exactly what they're paying and how many tokens they'll get before they invest.

Multi-chain infrastructure

Polkastarter works across several different blockchains, so projects can pick the one that best fits their needs. Some chains have lower fees, others are faster, and some have different user communities.

Project curation and support

As mentioned above, before any project can launch on Polkastarter, it goes through a thorough review process. The team checks the technology, verifies who's behind the project, and evaluates whether the business makes sense.

Projects also get help with marketing, strategy advice, and technical support to give them the best chance of success both during their launch and afterwards.

What Is POLS?

POLS is the native utility token of the Polkastarter ecosystem, serving a range of functions within the ecosystem:

• Tier access: Users must hold and stake POLS tokens to access different participation tiers in IDO launches, with higher holdings providing better benefits and guaranteed allocations.
• Governance rights: POLS holders can participate in platform governance decisions, voting on proposals that affect the platform's future development and policies.
• Staking rewards: Token holders can stake their POLS to earn rewards while maintaining their tier status for IDO participation.
• Platform fees: POLS can be used to pay for various platform services and may provide discounts on transaction fees.

How can I buy and sell POLS?

POLS tokens are available on Tap, allowing verified users to easily buy, sell, and trade the token. Before investing in POLS, we encourage you to consider how useful the token is on the Polkastarter platform and how much the launchpad space is growing. The token’s value depends largely on the platform’s success and how widely IDO fundraising is adopted.

‍

As 2025 comes to a close, Bitcoin is still standing at a crossroads. From its recent drop to a low near $80,000 to a rebound above $94,000, price action has been volatile, and sentiment even more so. What follows is a deeper look at what could shape Bitcoin’s path through the year-end: who’s holding, what’s shifting under the surface, and which scenario is playing out now.

What’s Working Under the Hood

Whales Keep Hoarding

After a period of heavy distribution, large-holder wallets are showing renewed accumulation. According to recent on-chain data, whales resumed accumulation in early December, netting nearly 47,600 BTC after offloading over 113,000 BTC between October and November.

This shift stabilizes price around the $89,000 to $92,000 zone and signals renewed confidence from some of the biggest holders. Meanwhile exchange balances keep making lower lows in spite of recent volatility, which suggests selling pressure may be diminishing.

Liquidity, Rate Cuts & Risk Appetite Are Back in the Menu

Bitcoin’s prospects aren’t just about on-chain flows. Macro conditions seem to be aligning too. Growing odds of a rate cut by the Federal Reserve could fuel a late-year rebound for crypto more broadly. That said, macro risks remain real: global economic uncertainty, rate-sensitive flows, and volatility in the stock market mean BTC could remain tethered to broader risk sentiment. Still, if liquidity conditions improve and the environment remains risk-on, Bitcoin and crypto as a whole could benefit.

Key Technical Zones & What They Mean

Right now, Bitcoin trades around $92,000, having tested $94,500 in the past 24 hours. That places BTC squarely in a “decision zone.” On one side lies the psychological resistance zone near $100,000 to $105,000, with the 200-day moving average rubbing the $100,000 level. How price behaves inside these zones, will likely determine if we see a year-end push or a drawn-out consolidation.

Two Scenarios for the Closing Days of 2025

Scenario A: Stabilization

This is the base case. It assumes:

• Continued whale accumulation and reduced exchange supply
• Macro tailwinds from improved liquidity and calming rate expectations
• Spot demand (retail + institutional) remains stable or improves

BTC could nudge toward the $100,000 resistance level. A clean break above this level (particularly if on-chain flows remain constructive and spot demand returns) would be a technical development worth watching, as it could open the door to a retest of recent highs or further upward movement.

Scenario B: Quiet Consolidation

In this scenario, volatility remains high, but structural forces push for balance rather than breakout. That might occur if:

• Macro risks re-emerge (rate uncertainty, global liquidity tightening)
• Spot demand remains timid or institutional flows stall
• Whales stay cautious and accumulation slows

This is what could play out. BTC trades sideways through year-end. The $100,000 mark remains elusive, perhaps tested a few times, but never cleanly taken out. Consolidation would become the theme. On the flip side, this path would offer stability and may set up a more sustainable base.

Nothing is set in stone, especially in crypto. More extreme scenarios remain possible, from a retest of the $75,000 to $80,000 zone to a fresh push toward new all-time highs. But based on current market sentiment and derivatives positioning, the scenarios outlined above represent the most grounded paths forward.

A Quiet Setup with Potential

Bitcoin doesn’t seem to be roaring toward $150K or 200K by year-end like many expected a few months ago. What’s playing out instead is quieter and more foundational. If this foundation holds, Bitcoin could grind higher toward the $100,000 to $105,000 zone before 2026, in an optimistic but a realistic scenario. If macro turbulence or weak demand returns, however, consolidation around the low $90ks remains the most likely path.

Sure, 2025 hasn't delivered the explosive rally some had circled on their calendars. But beyond price action, the foundation is strengthening: institutional adoption is accelerating, regulatory clarity is emerging, and infrastructure is maturing faster than ever. And let's not forget, December has delivered surprises before. Bitcoin has a history of wrapping up the year with unexpected gifts. Whether that leads to a late-year breakout or simply a stable base heading into 2026, you can always follow along and watch a holiday rally if one decides to show up.

‍