In addition to Uniswap's well -known decentralized exchange (DEX) in the Ethereum network, PancakeSwap is beginning to gain attention as the leading DEX in the Binance Smart Chain (BSC) network.
Launched on September 20, 2020, PancakeSwap is a decentralized exchange of BEP-20 tokens featuring the use of an automated market maker (AMM) model.
For information, AMM allows users to trade with liquidity pools and collect rewards.
The pool at PancakeSwap is known as SYRUP, which here will be filled with other consumer funds. Most recently, users can also stake CAKE at Pancake Bunny Pools where there is a potential to grab BUNNY tokens.
PancakeSwap offers fast transactions at a lower cost compared to DeFi projects developed in Ethereum. In fact, it can be said that PancakeSwap is comparable to SushiSwap and Uniswap.
How it works?
Liquidity (Funds Flow)
Users can add funds flow by adding their tokens into SYRUP. They will receive a return of a PancakeSwap liquidity provider (LP) token known as a FLIP token.
Staking
By adding a flow of funds into the pool, users will earn LP tokens as a reward. There are three options available:
Receive CAKE via LP staking
Stake CAKE to get more CAKE
Stake CAKE to get tokens from other projects in BSC such as DODO, UST (Terra USD) or LINA (Linear Finance)
Farming
Farming means raking in most tokens or cryptocurrencies. Popular options include:
CAKE-BNB LP
BUSD-BNB LP
BETH-ETH LP
USDT-BUSD LP
USDC-BUSD LP
DAI-BUSD LP
LINK-BUSD LP
TWT-BNB LP
So what does PancakeSwap have to offer, perhaps much better than Uniswap?
Fast transactions at low cost (PancakeSwap vs Ethereum)
PancakeSwap-transaction cost: from $ 0.04- $ 0.20, transaction duration: less than 5 seconds
Ethereum - transaction cost: 2021 record hits over $ 20, transaction duration: 5 minutes
No KYC claim
PancakeSwap is not like a centralized exchange that requires compliance with Know Your Customer and Anti-Money Laundering (KYC/AML). The claim appeals to users ’privacy through the provision of additional documents to verify users’ identities.
Audited and secured
The platform is audited by cyber security firm, Certik and receives protection:
Oracle Security
CertiK Shield
DeepSEA
The CertiK Virtual Machine
Win non-fungible tokens (NFT) at PancakeSwap
This platform has room for NFT winners. The winner will be chosen at random and whoever is lucky has the potential to get an NFT.
