PancakeSwap is a decentralized exchange powered by the Binance Smart Chain (BSC) blockchain. Here users can trade digital assets without registration, earn extra money for holding assets and for participating in lotteries and team battles. The platform was launched in September 2020.
In order to use all the features of the exchange, the user needs to connect a Web3 wallet. This will allow exchanging cryptocurrency, participating in pools, receiving rewards, etc. The platform uses the Automated Market Maker (AMM) model for transactions, where users independently form a liquidity pool. In return, they receive liquidity provider tokens (LP) needed to generate income from trading fees, farming and more.
Users have more than 1,000 trading pairs available for trading. Because the exchange runs on the Binance blockchain, it has low fees. The user pays 0.25% fee for each trade. The security of PancakeSwap has been tested and passed CertiK.
Elements of PancakeSwap
- Exchange. You need BNBs to use it. Data from project cryptodefix.com. Here the user can buy and sell digital assets.
- Liquidity. With LP users can get internal CAKE tokens. Users get rewards for holding them.
- Farms. Here you can earn by investing LPs in one of the farms.
- Pools. Earn money on steaking by investing CAKE in Syryp Pools.
- Prediction. Betting on the rise or fall in value of one of the cryptocurrencies or assets.
- Lottery. By purchasing a ticket for 10 CAKE, the user can participate in a raffle. Lottery takes place every 6 hours.