Block Journal
No Result
View All Result
  • Login
en English
nl Nederlandsen Englishfr Françaisde Deutschit Italianopt Portuguêsru Русскийes Españolth ไทยzh-CN 简体中文hi हिन्दीja 日本語
  • Home
  • News
  • Crypto
  • Markets
  • Investing
  • Glossary
  • Videos
  • Charts
    • Crypto
    • Forex
    • Stocks
    • Commodities
  • Magazine
Magazine
Newsletter
  • Trending Now
  • Bitcoin
  • Altcoin
  • Ethereum
  • Analysis
  • Blockchain
  • Metaverse
  • NFT
  • DeFi
  • Web3
  • GameFi
  • ICO
  • Legal
  • Security
Block Journal
  • Home
  • News
  • Crypto
  • Markets
  • Investing
  • Glossary
  • Videos
  • Charts
    • Crypto
    • Forex
    • Stocks
    • Commodities
  • Magazine
en English
nl Nederlandsen Englishfr Françaisde Deutschit Italianopt Portuguêsru Русскийes Españolth ไทยzh-CN 简体中文hi हिन्दीja 日本語
No Result
View All Result
Block Journal
No Result
View All Result
  • News
  • Crypto
  • Markets
  • Investing
  • Videos
  • Charts
Home Markets

PancakeSwap TVL Drops 12%, Did This Exchange Received A Lethal Blow?

News Room by News Room
March 11, 2023
in Markets
Reading Time: 3 mins read
0 0
A A
0

PancakeSwap (CAKE), the leading multichain decentralized exchange (DEX) running on the Binance Smart Chain (BSC), has suffered a significant 12% drop in its total value locked (TVL) to $2.4 billion.

The crypto crackdown by regulators targeting Binance’s stablecoin BUSD triggered a decrease in the stablecoin supply. This has negatively impacted the growth of the BNB Smart Chain, affecting protocols and DEX’s TVL.

What has set PancakeSwap apart from UniSwap and SushiSwap exchange since its inception is that it runs on the BSC instead of the Ethereum smart chain. However, PancakeSwap has gone multichain, launching on both Ethereum and Aptos.

Unlike traditional exchange models, the AMM allows traders to use permissionless liquidity pools to exchange digital assets, which are given a liquidity provider (LP) token for which they decide to add funds to the liquidity pool.

According to DeFiIgnas, decentralized finance (DeFi) researcher, PancakeSwap overtook UniSwap by total value locked on November 29.

Related Reading: Bitcoin Long-Term Holders Still Holding Strong Despite Price Decline

PancakeSwap Able To Mitigate The Losses?

In a bold move to address liquidity issues affecting the decentralized exchange, PancakeSwap launched its market maker integration on Ethereum and Atpos in February. The market maker integration will serve as an additional source of liquidity to the existing AMM to help traders operate and “enjoy better liquidity,” according to the exchange.

By integrating PancakeSwap’s MM with its AMM, the exchange will improve swaps of ERC-20 tokens on the Ethereum smart chain. In addition, PancakeSwap’s integration with market makers on Ethereum will also result in the introduction of Ethereum, Bitcoin, and Stablecoin trading pairs on the exchange.

The anonymous developer behind the exchange Chef, the co-founder of the exchange, noted:

We thought about how we could best serve our community and new Ethereum users without excessively emitting precious CAKE to acquire extremely high levels of TVL

With the integration on Ethereum, PancakeSwap will allow customers to be directed to approved market makers and the AMM, according to DeFiIgnas, which explained that this would result in lower fees and better spot prices. He claimed:

It is a creative solution to the liquidity problem. Liquidity Providers (LPs) don’t deposit assets into an AMM if there’s no trading volume to generate yield. And user’s don’t trade where slippage is high. So, market maker integration solves this Chicken & Egg dilemma.

PancakeSwap Set To Launch V3 On BSC

PCS continues to bring innovation to the protocol with the launch of V3 on April 1. The upgrade will add features such as improved liquidity provision, competitive trading fees, trading incentives, and yield farming tools that allow users to maximize their returns and rewards.

These products can attract more users and capital to the exchange, increasing the protocol’s revenue and enhancing PCS’s value to investors. DeFiIgnas concluded:

DEX space is the most fun to watch due to cut-throat competition. My prediction for 2023 is that it will lead to a diversification of their business model. The Market Maker integration, uniqueCAKE veTokenomics, and various incentives make PCS different.

Related Reading: Polygon (MATIC) Down By 7% Amidst Massive Whale Activity

After burning 7 million tokens with a total value of $27 million on Monday, the DEX’s native token has been downtrend from its annual high of $4.68 in February. Currently, the token is trading at $3.56 following the ongoing problems on the exchange despite the recent announcements from PancakeSwap.

Featured image from Unsplash, chart from TradingView.com

Read the full article here

ShareTweetSharePinShareShareSend

Related News

Brazil, Australia open talks on agricultural trade agreements
Commodities

US and UK back new ‘Atlantic Declaration’ for economic cooperation

June 9, 2023
Starbucks shareholders seek input on labor rights review – letter
Stocks

Starbucks shareholders seek input on labor rights review – letter

June 9, 2023
Odds of U.S. ‘hard landing’ rising after Fed’s refusal to pause rate hikes earlier this year, warns Cam Harvey
Markets

Odds of U.S. ‘hard landing’ rising after Fed’s refusal to pause rate hikes earlier this year, warns Cam Harvey

June 9, 2023
Justin Sun and Huobi play shell game with ownership
Markets

Justin Sun and Huobi play shell game with ownership

June 9, 2023
Forex Today: Dollar consolidates after heavy losses, remains vulnerable
Forex

US Dollar Index: DXY suffers from downbeat US data, pre-Fed positioning at 13-day low near 103.30

June 9, 2023
US, EU in talks on clean technology trade deal -FT
Commodities

Damaged reservoir can still provide water for big Ukrainian nuclear plant -IAEA

June 8, 2023
ValueAct questions Seven & i strategy, pushes 7-Eleven spin-off
Stocks

TD Bank CEO ‘confident’ of resolving issues tied to First Horizon deal collapse

June 8, 2023
Breaking: CZ Refutes Claims Of Binance User Fund Diversion
Markets

Breaking: CZ Refutes Claims Of Binance User Fund Diversion

June 8, 2023
NZD/USD aims to recapture 0.6230 as risk appetite improves, China Inflation eyed
Forex

NZD/USD Price Analysis: Multiple hurdles prod Kiwi bulls, focus on 200-SMA, China inflation

June 8, 2023

Discussion about this post

Latest News

Stocks to Watch: Aehr Test Systems, Roku, Cingulate

Do smoky skies have you shopping for an air purifier? 5 things to know and I grew up with forest fires in Asia. Here’s what I learned.

June 9, 2023
Interesting Fact on Bitcoin Founder’s Identity Hinted at By This CEO

Interesting Fact on Bitcoin Founder’s Identity Hinted at By This CEO

June 9, 2023
Unfavorable Fed Policies May Keep Lid on Ethereum Price – Bloomberg Analyst

Unfavorable Fed Policies May Keep Lid on Ethereum Price – Bloomberg Analyst

June 9, 2023
Circle CEO Jeremy Allaire: USDC Already Has Competitive Edge

Circle CEO Jeremy Allaire: USDC Already Has Competitive Edge

June 9, 2023
First Mover Asia: Bitcoin Falls Below $26.5K as Crypto Market Fades Amid Coinbase, Binance Angst

First Mover Asia: Bitcoin Falls Below $26.5K as Crypto Market Fades Amid Coinbase, Binance Angst

June 9, 2023
ADVERTISEMENT

Popular

  • Canada’s budget measures brighten funding prospects for critical miners

    Danske Bank raises profit goal, puts Norway retail unit up for sale

    0 shares
    Share 0 Tweet 0
  • Slump in global cashew demand pushes Ivory Coast industry to verge of collapse

    0 shares
    Share 0 Tweet 0
  • RBA likely to deliver another 25bps next week – Well Fargo

    0 shares
    Share 0 Tweet 0
  • Natural Gas Futures: Scope for further gains near term

    0 shares
    Share 0 Tweet 0
  • USD Index Price Analysis: Lack of direction points to some side-lined trade

    0 shares
    Share 0 Tweet 0
Block Journal

Block Journal is the world’s leading source in blockchain news and updates. Follow us to stay up-to-date with all you need to know in web3.

LEARN MORE »

Recent Posts

  • US and UK back new ‘Atlantic Declaration’ for economic cooperation
  • Starbucks shareholders seek input on labor rights review – letter
  • Do smoky skies have you shopping for an air purifier? 5 things to know and I grew up with forest fires in Asia. Here’s what I learned.

Trending Topics

Altcoin Analysis Bitcoin Blockchain Commodities Crypto DeFi Ethereum Forex Futures GameFi ICO Investing Legal Markets Metaverse News NFT Security Stocks Uncategorized Videos Web3

Get Informed

The most important crypto and finance news and events of the day

Be the first to know latest important news & events directly to your inbox.

By signing up, I agree to our TOS and Privacy Policy.

  • About
  • Privacy Policy
  • Terms of use
  • Press Release
  • Advertise
  • Contact

Copyright © 2023 Block Journal - Created by Sawah Solutions.

No Result
View All Result
  • Home
  • News
  • Crypto
  • Markets
  • Investing
  • Glossary
  • Videos
  • Charts
    • Crypto
    • Forex
    • Stocks
    • Commodities
  • Magazine

Copyright © 2023 Block Journal - Created by Sawah Solutions.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.