Binance Smart Chain (BSC) – The name is emerging as a network with impressive speed and meager transaction fees. The Yield Farming app on this platform is PancakeSwap. Currently, this smart cryptocurrency exchange is gradually gaining the trust of users. So what is Pancakeswap exchange? Let’s find out more details with Kienthuccoin in the article below!
What is Pancakeswap? Details of Token PancakeSwap
What is PancakeSwap? PancakeSwap is a decentralized exchange (DEX) that allows users to exchange BEP20 tokens (the latest token standard from Binance Smart Chain), stake tokens to receive rewards, and vote to govern decisions—determined on the system based on the amount of Syrup tokens you hold.
This is the application platform of Automated Market Maker (AMM – roughly translated: “Automated market creation system”). This means that your trades will not be matched with other people’s orders using order books. Instead, users will trade with each other by locking their tokens into a liquidity pool.
PancakeSwap has rapid growth. This is also a project that Binance invested up to $ 350,000. This exchange helps to liquidate BSC’s tokens and staking services, liquidity mining, LP migration, money farming, etc.
Up to the present time, according to Coinmarketcap statistics, Pancakeswap is an extensive DEX exchange. 2nd in the world (24h volume over $500B), second only to Uniswap (24h volume over $700B). In addition, according to statistics from the website DappRadar, PancakeSwap is currently the leading application in terms of volume as well as the number of users on the Binance Smart Chain network.
How to create a wallet to join PancakeSwap
On the web
Specifically, perform the following steps:
Step 1: Set up MetaMask wallet settings.
Step 2: Once you have a MetaMask wallet, click on the network section at the top of the browser. Select “Custom RPC.”
Step 3: After clicking Custom RPC, the screen will return the information fields to be filled in, such as Network Name, New RPC URL, etc.
Step 4: Fill in the boxes with the same information as the image above. Specifically:
- Network name: Binance Smart Chain
- New RPC URL: https://bsc-dataseed.binance.org
- ChainID: 56
- Symbol: BNB
- Block Explorer URL: https://bscscan.com
Step 5: Click “Save” to finish connecting to Binance Smart Chain. Then click Deposit BNB to continue participating in transactions on PancakeSwap.
Note: When transferring BNB to your wallet, you need to make sure you are trading with the BEP20 standard – the new token standard of the Binance Smart Chain.
On mobile platforms
Also, another way to reach PancakeSwap is by mobile with TrustWallet. Reasons to use TrustWallet when participating in PancakeSwap:
- TrustWallet has higher compatibility with the Binance house, everything is set up neatly, the interface and supporting Dapps are displayed and easy to use.
- CAKE is currently only supported on the only CEX exchange, Binance. The transfer speed from Trust Wallet to Binance is faster with the Binance Smart Chain network, supporting the movement of coins back and forth if you want to sell with high liquidity.
How to use the TrustWallet Wallet App to join PancakeSwap
Next, Kienthuccoin will guide you to use the TrustWallet Wallet App to join PancakeSwap.
Step 1: Download Trust Wallet and set up the settings in the wallet.
Step 2: Add BEP20 standard BNB coin to the wallet.
Click on the settings button in the upper right corner and then search for BNB coins to add to display on the wallet’s homepage.
Note: Use BEP20 standard BNB coin with the name displayed on Trust Wallet as “Smart Chain (BNB),” as shown in the image below.
Deposit BNB to your wallet to continue participating in transactions on PancakeSwap. Click on the 4 square box icon below the tab bar, and TrustWallet will show supported Dapps. Choose PancakeSwap to be able to connect to the DEX!
Token PancakeSwap (CAKE)?
CAKE is the internal token of the DEX PancakeSwap exchange. CAKE is developed by an anonymous group of programmers and uses the BEP20 standard of Binance Smart Chain to operate.
CAKE Token Specifications Token
- Code: CAKE
- Standard: BEP-20
How can I get CAKE?
Directly Swap BNB, BAND, BCH, ALPHA,… to CAKE for staking or mining on PancakeSwap exchange Binance.
Trading on Binance
Binance supports CAKE/BUSD and CAKE/BNB trading pairs.
Yield Farming is a recent emerging wave on Defi platforms because it allows investors to benefit from high returns and huge growth potential quickly.
You need to stake two types of tokens to create a token pool. After having a token pool, you can lock these token pools into the pools from which to receive CAKE.
Kienthuccoin will provide detailed step-by-step instructions to participate in Farming on PancakeSwap!
First, go to “Menu,” then select “Farm.”
You can click on the language symbol in the right corner for more convenience. Then select “Vietnamese” for ease of use.
On the platform, you can see the mining pools. Each mining pool will contain two tokens. For example, Kienthuccoin will take CAKE and BNB.
After identifying the two token pools you want to join, you will have to create token pools by “Add Liquidity.” Click on “Trade” then “Exchange” on the Menu bar. Then click on the “Pool” tab to start “Add Liquidity.”
Select two tokens as the initial target, for example, BNB and CAKE, then click Add.
Once you have Pool Token, go back to the mining pool interface, Stake the Pool Tokens you just created into the pool.
Note: The APY (Annual Percentage Yield) is the part of the interest rate that you can receive when you farm in pools. This APY will be high or low depending on the risk and volatility of the tokens staked in the pool.
Statistical table of APY levels for notable yield farming pools on PancakeSwap – data were taken on 11/2.
|Farm Pool||APY (%)|
|CAKE – BNB||506,1|
Moreover, on PancakeSwap, there are still many farm pools with many other notable cryptocurrencies such as EOS, ETH, BTC, etc.
Finally, there will be a “Harvest” section on the display frame, which means the amount of CAKE you are rewarded for your Farming activities.
On the menu item of PancakeSwap, click on Staking. When staking (i.e., locking the existing amount of CAKE), you will be rewarded in the form of CAKE.
In addition to participating in farming to receive interest, you can also stake CAKE in pools to receive rewards with various tokens. The steps to joining the pool are as follows:
Step 1: In the “Menu” section, click “Pools”.
Step 2: Select pool. As of 11/15, the collections available are:
- CAKE Pool
- HARD Pool
- TWT Pool
- NYA Pool
- bROOBEE Pool
Next, the Kienthuccuoin example will choose the CAKE pool.
Step 3: Click on the (+) sign to stake CAKE in the pool.
Step 4: Click the amount of CAKE you want to stake and click “Confirm.”
Done! So you can start receiving rewards returned from Staking activities. Next, we will come to another interesting activity on PancakeSwap: Lottery.
PancakeSwap also helps users to earn extra profits by making predictions in “Prediction (BETA)” or buying lucky tickets through “Lottery.” Every 2 hours, the platform will conduct a lottery to find the luckiest people.
The cost per ticket will be around 10 CAKE. For each ticket purchased, you will receive four numbers.
There are three prize categories: winning two numbers, three numbers, and four numbers. You can track your lottery results right in the Lottery tab.
What are some frequently asked questions about What is Pancakeswap?
Where to stay up to date with the latest news about What is PancakeSwap?
PancakeSwap Official Channels:
- Twitter: https://twitter.com/pancakeswap
- Medium: https://medium.com/@pancakeswap
- Announcement Channel: http://t.me/PancakeSwapAnn
- English Chat: http://t .me/pancakeswap
- Vietnamese Community: https://t.me/PancakeSwapVN
Is Pancakeswap a scam?
The development team behind CAKE remains anonymous. This is a concern if you want to embrace and keep capital on PancakeSwap in the long term.
PancakeSwap also integrates and connects with many tokens that have just been IEOs on Binance, so this can still be considered a plus point for this platform in terms of an ecosystem.
What is the transaction time and cost of Pancakeswap Exchange?
Because it is a decentralized exchange, the transaction fee of Pancakeswap exchange is cheaper than the common ground. In addition, the transaction speed of the product is very fast, which has been verified by the virtual currency investment community.