What is PancakeSwap?
🥞 PancakeSwap - A next evolution DeFi exchange on BNB Smart Chain (BSC)
The most popular AMM on BSC! Earn CAKE through yield farming or win it in the Lottery, then stake it in Syrup Pools to…
What is PancakeSwap?
PancakeSwap is the most popular decentralized crypto exchange/DEX/swap site that has many other features like their pools, trading competitions, lotteries and newly created NFT platform. They also have their own cryptocurrency called “PancakeSwap” (CAKE) which is in the list of Top 50 ranked crypto’s.
Users can securely trade Binance Coin (BNB) and a wide range of BEP-20 tokens without relying on centralized services or losing control of their private keys on the platform. All trades on PancakeSwap are automatically completed using smart contracts as a decentralized exchange, entirely eliminating counterparty risks.
PancakeSwap has been certified by several notable blockchain security firms, including Certik and Slowmist, despite the fact that the team behind it is completely unknown. The PancakeSwap website and smart contract code are both open to public examination, making the platform totally open-source. Despite this, the team is believed to include more than a dozen people (known as cooks), including two co-leads (Hops and Thumper) and a variety of engineers.
Since its launch in September 2020, the platform has seen a significant increase in both the number of users and the liquidity of supported assets, as well as the number of features it offers. PancakeSwap has evolved into a full ecosystem of DeFi products, all of which are based on the platform’s native utility coin, “PancakeSwap” (CAKE).
PancakeSwap allows users to earn a yield by staking supported liquidity provider (LP) tokens in one of its numerous yield farms. By participating in a yield farm, users earn a CAKE yield on their LP tokens. This is on top of the yields generated through transaction fees. The exact APY can vary from farm to farm, but can be as high as several hundred percent. Though users will need to factor potential impermanent losses into their overall yield.
PancakeSwap’s easy staking functionality is identical to syrup pools. Users can stake a variety of BEP-20 tokens in the platform’s Syrup pools to receive a payout in the form of CAKE or another reward token. The APY for each pool can vary significantly, similar to its yield farms, and users will need to factor in the changing value of their staked assets to calculate their true yield.
PancakeSwap introduced NFT Profiles in February 2021, allowing customers to select an NFT profile photo after purchasing one of the various Bunny NFTs. Users that fill out their profiles completely will be able to join a team and participate in special team events to gain rewards. Syrup Storm is the most popular team as of July 2021.