By
Mayowa Adebajo
April 25th, 2024
The PancakeSwap (CAKE) DEX is the top DeFi protocol on the BSC network with nearly $2 billion in TVL and millions of users.
In a bid to ensure token deflationary, PancakeSwap (CAKE), the leading decentralized exchange (DEX) on the Binance Smart Chain (BSC), announced that it has already incinerated 9,219,752 $CAKE units worth more than $27 million. As a result, PancakeSwap has so far burned more than 1.25 billion CAKE tokens, worth more than $3.7 billion, thus representing around 76.4 percent of the total circulating supply.
Direct Impact on CAKE Prive Action
Amid the ongoing crypto recovery following a choppy weekend, CAKE price has rebounded more than 8 percent in the last 24 hours to trade around $2.94 on Monday during the early New York session. According to on-chain data, CAKE has more than 1.63 million non-zero addresses, which have already made nearly 200 million transfers.
Notably, the CAKE token is a mid-cap altcoin that has a fully diluted valuation of about $1.1 billion and a daily average trading volume of around $116 million.
With the high demand for CAKE, which has liquidity of over $86 million in top-traded digital assets, the underlying value will continue to rally toward an all-time high (ATH). From a technical standpoint, CAKE’s price against the US dollar has been forming a bullish megaphone, which will eventually yield a rally towards double digits.
Moreover, Bitcoin’s dominance will drop to a historical low soon after forming a falling divergence on the weekly Relative Strength Index (RSI).
#Altseason will Start after Bitcoin Halving. ⌛️
HODL your Altcoin Bags with Patience, Avoid Panic Selling, Altseason is yet to come! #Crypto #Altcoins #Bitcoin pic.twitter.com/mrNVMZL8R9
— Captain Faibik (@CryptoFaibik) April 13, 2024
Growing PancakeSwap (CAKE) Ecosystem
The PancakeSwap platform has inked strategic partnerships in the recent past to enable seamless adoption of digital assets. On Monday, PanecakeSwap announced a strategic partnership with Aperture Finance to help in the automation g liquidity pool (LP) management.
Through the integration with Aperture Finance, PancakeSwap users can now tap on AI-powered tools to optimize LP management on different chains.
The PancakeSwap DEX has grown to a multi-chain trading platform available on Ethereum, Aptos, Polygon zkEVM, Arbitrum, Linea, and Base, among others. With the growing on-chain activity on most layer one and layer two chains fueled by meme coins, PancakeSwap has significantly benefited.
Furthermore, PancakeSwap enables anyone to benefit by providing liquidity to different pools. Additionally, the DEX platform has low and affordable trading fees that enable it to compete with other similar exchanges in the industry.
🐰Last week at PancakeSwap
1⃣Arbitrum & Base 1B cumulative trading volume
🆕CLAMM Options Trading
🆕TWAP and Limit orders
2⃣Q2 Roadmap Released & AMA
🆙Position Manager Enhanced Rewards
🆒Arbitrum LTIPP application approved— PancakeSwap v4🥞 (@PancakeSwap) April 15, 2024
Regulatory Scope
Despite being a decentralized financial platform, PancakeSwap faces possible regulatory hurdles similar to its Ethereum-based counterpart Uniswap (UNI). As Coinspeaker recently reported, the United States Securities and Exchange Commission (SEC) is after Uniswap for allegedly operating without necessary regulatory approval.
Notably, the US SEC has stood firm on most crypto assets falling under securities law, despite the court finding the matter otherwise.