In the present scenario, various DeFi protocols are emerging in markets, that allow users to stake their funds in return for the protocol’s tokens. Ethereum is the earliest blockchain backing smart contracts and helps to build decentralized applications.
We will see about DeFi Protocol PancakeSwap, a decentralized exchange built on BinanceSmartChain(BSC).
PancakeSwap is a decentralized exchange for trading BEP-20 tokens. The PancakeSwap exchange has an automated market maker(AMM) model. It helps to trade digital assets on the platform, where other exchanges use the order book to match buyer and seller, whereas in pancakeSwap uses Liquidity pools are available to execute your tradings.
The user digital assets are deposited on the liquidity pool, and the user gets tokens as a return for that.
Users can use tokens to reclaim their share, a part of trading fees.
Users can trade BEP-20 tokens, or add liquidity and earn rewards. There are also other features we’ll cover later.
Farming and staking on PancakeSwap
PancakeSwap also provides you to farm its governance token – CAKE. Users can deposit LP tokens, locking them up in a process and rewards with CAKE on the farm.
The LP tokens you can deposit in Farming and Staking
· CAKE – BNB LP
· BUSD – BNB LP
· BETH – ETH LP
· USDT – BUSD LP
· USDC – BUSD LP
· DAI – BUSD LP
· LINK – BUSD LP
· TWT – BNB LP
Users can earn still more extra by staking their CAKE in SYRUP pools. Users deposit digital assets on the farm to receive LP tokens as rewards and use them to farm CAKE. User can stake their CAKE and Earn other tokens through special staking pools.
If you are in an idea of starting a decentralized exchange like PancakeSwap, Get more info at PancakeSwap Clone Script
