What is PancakeSwap (CAKE) ? How Do We Use It ?
Crypto assets touted as the coins of the future gradually began to appear in all aspects of our lives. Especially recently, these assets have been declared the official currency by some countries. Popularity has increased day by day and has become a huge market where billions of dollars are spinning. Of course, the channels where cryptocurrencies meet with their investors are also very important. We have examined in detail the PancakeSwap (CAKE). We have started to hear its name frequently these days and have conveyed it to you.
What is PancakeSwap (CAKE)?
People who are interested in crypto markets know Binance. A single center manages those platforms. Binance Smart Chain has developed PancakeSwap (CAKE). It has a similar concept to platforms like Uniswap and Sushiswap, the decentralized finance protocols used mainly to exchange cryptocurrencies. PancakeSwap appeals to users with many functions. Such as token swapping quickly and securely, adding liquidity to one or more of the liquidity pools, and generating passive income. Although it is based on AMM, there are also options such as winning NFT by participating in staking draws, participating in token sales, and being on the leaderboard.
How Do We Use It?
The PancakeSwap platform requires a cryptocurrency wallet. It doesn’t connect to any center, as well as in crypto money exchanges that are connected to a single center, such as Binance. The platform supports many wallets, such as MetaMask, Trust Wallet, and Binance Chain Wallet. Investors who want to use PancakeSwap must first integrate the crypto money wallets. They use the system, then deposit Binance Coin (BNB) or PancakeSwap (CAKE) to the platform to make transactions and start earning.
How Can We Manage It?
The swap process, or token exchange process, is quite simple. The only step that investors should follow here is to determine the token that they want to exchange and click on the ‘Swap’ button. Let us remind you that we have to pay a 0.25 percent fee for this transaction. Start generating income by adding the tokens you have purchased to the liquidity pools. You need to add pairs of tokens, such as CAKE and BNB, in equal amounts. In return, investors get CAKE-BNB LP. While the number of LP tokens here represents your share in the CAKE-BNB liquidity pool, you can also start using your money by removing your liquidity at any time.
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