What is PancakeSwap?

PancakeSwap is a decentralized exchange (DEX) operating across multiple blockchains, including Binance Smart Chain (BSC), Ethereum, and others. Launched in September 2020, it uses an automated market maker (AMM) model, allowing users to trade cryptocurrencies directly from their wallets without intermediaries. The platform offers token swaps, yield farming, staking, lotteries, and an NFT marketplace. Its native token, CAKE, is used for governance, staking rewards, and participation in exclusive platform features.

How is PancakeSwap useful?

PancakeSwap provides users with a fast and cost-efficient way to trade cryptocurrencies across multiple blockchains. It eliminates intermediaries, enabling users to swap tokens with low fees and high-speed transactions. Liquidity providers can earn rewards through yield farming and staking, while additional features such as prediction markets, lotteries, and an NFT marketplace enhance user engagement. By continuously expanding its services and integrating with multiple chains, PancakeSwap has positioned itself as a key player in the DeFi ecosystem.

How does PancakeSwap work?

PancakeSwap operates on an AMM system, replacing traditional order books with liquidity pools. Users provide liquidity by depositing token pairs, receiving liquidity provider (LP) tokens in return. These LP tokens can be staked to earn CAKE rewards. The platform also features staking in Syrup Pools, where users earn additional tokens. With features like limit orders, perpetual trading, and cross-chain swaps, PancakeSwap offers a versatile and user-friendly DeFi experience.

PancakeSwap milestones

• Rapid Growth & Adoption: Became the leading DEX on BSC, surpassing $836 billion in trading volume and 43 million unique addresses.

• Multichain Expansion: Integrated with Ethereum, Polygon zkEVM, zkSync Era, Linea, Base, Arbitrum One, and Aptos to enhance accessibility.

• PancakeSwapX Launch: Introduced gasless and zero-fee swaps for Ethereum and Arbitrum in 2024.

• Record Trading Volume: Reached $310 billion in total trading volume in 2024, a 179% year-over-year increase.

• CAKE Supply Reduction: Implemented token burns, reducing supply by over 4.29 million CAKE in 2024.

• PancakeSwap V4 Announcement: Marked its fourth anniversary with plans for a major platform upgrade.

PancakeSwap’s continuous innovation, multichain expansion, and user-friendly DeFi tools have solidified its position as a leading decentralized exchange.

Buy PancakeSwap (CAKE) on BITmarkets.