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Flapjack Millionaires: PancakeSwap Is Going To Make a Lot of People Rich

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Let’s back up for a minute, though, and go back to what brought you here — how to turn a few bucks into a million. It’s an easy formula:

It’s really simple to turn $500 into $1M in 10 years. You just need a place that can sustain 100% APRs. Now, realistically, not even PancakeSwap can maintain those rates. It’s just not possible to have a thing be that lucrative for that long. People catch on, and as more people join, rewards get diluted, and the APRs go down.

Let me try to make the case for why PancakeSwap can still make you rich, though.

Three things I love about PancakeSwap

I rolled my eyes at PancakeSwap for its first few months. I didn’t like its stupid bunny and cutesy graphics, and I couldn’t figure out how to get funds onto Binance Smart Chain (BSC) to even use it if I wanted to. (Thanks, BinanceUS.)

But it refused to go away, and I couldn’t help but notice the things they were doing. I grew to appreciate their pace of innovation more as the defi landscape across all blockchains began to feel like the clone wars, with Uniswap v2 clones like QuickSwap and KwikSwap competing against PancakeSwap clones like Cub Finance or Uniswap/Pancake clone-mashup, MochiSwap.

Syrup dens at Cub Finance?

That’s probably the thing I like most about PancakeSwap. They keep introducing new ways to engage the community. They have team battles, lotteries, and the new Prediction game. These are all ways to keep users coming back every day and using the service, which translates to more CAKE burned & more fees earned for liquidity providers.

The second thing I appreciate is that it’s on BSC. This is somewhat of a double-edged sword. Many folks don’t like BSC because it’s more centralized, but that’s what’s allows it to be faster and cheaper than Ethereum. Speed, low fees, and a large selection of tokens make PancakeSwap a great destination in the cryptocurrency ecosystem.

My favorite feature of PancakeSwap, though, is syrup pools. Syrup pools allow you to stake CAKE to earn other cryptos. Syrup pools run for a limited time and have a fixed supply of rewards, sort of like a mini-version of the aforementioned incentives provided by Cake DeFi, ViperSwap, and SushiSwap. As syrup pools expire, new pools rise like a sticky tide to take their place.

Those sweet, sweet syrup pools

Syrup pools are the feature that makes PancakeSwap so intriguing to me. The ever-changing selection of available cryptos creates a replenishing supply of rewards. PancakeSwap provides huge exposure to new tokens because of how much traffic and transaction volume it drives. Participating in syrup pools is akin to an advertising campaign for projects, i.e., new projects will be willing to pony up the rewards.

The CAKE syrup pool (stake CAKE to earn CAKE) rewards will slowly dry up, so making millions of dollars isn’t as simple as sticking funds in the auto-compounding pool and coming back in 10 years. However, as the rewards are reduced, you’ll be able to use the CAKE you’ve earned to earn other cryptos from higher-APR syrup pools, which can then be swapped back to CAKE and re-invested.

I believe this will enable PancakeSwap to outlast many of its competitors in terms of sustained rewards over time.

The elephant in the room: unlimited supply

Pancake’s native token, CAKE, has an unlimited supply. Critics love to point to this as the reason why CAKE’s potential is limited and say that it’s no better than fiat currency. Nobody seems to be critical of ETH, though, and many are happy to project that Ethereum will continue to grow and eventually take the market cap crown from Bitcoin.

Yes, PancakeSwap could ruin everything by making their CAKE printer go , but it’s not really in their best interest to do so. What’s more beneficial to them is to supply over time, to increase the scarcity of CAKE and make it more valuable. It’s worth noting that this is exactly what’s happening with Ethereum, as many analysts anticipate that the EIP 1559 upgrade scheduled for release in July will make ether a deflationary asset.

Coinsmart. Beste Bitcoin-Börse in Europa
Source: https://medium.com/this-crypto-life/flapjack-millionaires-pancakeswap-is-going-to-make-a-lot-of-people-rich-ceeb4e8bbb9d?source=rss——-8—————–cryptocurrency

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