PancakeSwap Proposes Ultrasound CAKE Tokenomics
One of the biggest decentralized exchanges, PancakeSwap, is recommending changing the CAKE tokenomics. The platform wants to shift to a staking model with minimal staking inflation and genuine income from PancakeSwap’s protocol revenues while attaining an annual inflation rate of between 3 and 5%. Long-term CAKE investors should benefit from this adjustment, which also represents a dramatic turn in PancakeSwap’s strategy.
1/3 📣We are proposing significant improvements to CAKE tokenomics to achieve ultrasound CAKE (emissions neutral or deflationary) immediately.
Link of proposal:https://t.co/2rtGhnRh3h pic.twitter.com/W5HFHloNsB
— PancakeSwap🥞Ev3ryone's Favourite D3X (@PancakeSwap) April 18, 2023
PancakeSwap Proposes Changes to CAKE Tokenomics, Seeks Community Feedback
Popular decentralized exchange PancakeSwap has revealed planned modifications to its CAKE tokenomics and is looking for community feedback before making any decisions. In addition to switching to a staking mechanism that delivers minimal staking inflation and the genuine income derived from PancakeSwap’s protocol profits, the planned modifications include aiming for a low yearly inflation rate of 3-5% for CAKE. PancakeSwap will provide a “decision proposal” with a projected arrival week of April 24, 2023, once there is agreement on a few key options. Finally, PancakeSwap will implement an option if it receives more than 50% of the community’s approval.
The PancakeSwap community decided to set a 750 million token supply cap last year to take into account the evolving DeFi environment and prevent over-inflation of its native token CAKE. Since then, the platform has expanded into other chains and developed several additional goods to enhance CAKE burn while progressively lowering Syrup Pool emissions to control inflation. The site also keeps rewarding its most devoted CAKE holders with the highest amount of CAKE payouts for stakes, which is another way it continues to reward loyalty.
Trending Now:Â Coinbase CEO: Relocation Possible Without Regulatory Clarity In U.S.
PancakeSwap has suggested various improvements to the way its CAKE token staking system operates. The modifications include decreasing staking allocation, implementing income sharing, boosting the weighting of CAKE emissions in favor of long-term stakeholders, and distributing more advantages to longer CAKE stakeholders. The suggested modifications are intended to promote increased ecosystem engagement, boost long-term staking incentives, and honor people who help with DEX implementation.
PancakeSwap Confirms Unchanged Aspects of Token Ecosystem
Decentralized exchange platform PancakeSwap has declared that some elements of its token ecosystem will not change. In particular, the portion of trading costs designated for buyback and burn will not change.
