Bakeryswap is a new decentralized exchange that allows users to trade directly with each other without having to go through a centralized exchange. Pancakeswap is another decentralized exchange that allows users to trade directly with each other. In this post, Cove Markets will compare and contrast the two exchanges: Bakeryswap vs Pancakeswap and help you decide which one is right for you.
What is BakerySwap?
BakerySwap is among the most well-known DEXs introduced on the Binance Smart Chain and PancakeSwap. The AMM approach, which is what BakerySwap uses, enables traders to trade against the liquidity pool. BLP (Bakery Liquidity Tokens), which may be used in farming pools, are given to users that provide liquidity to pools.
Users receive a share of the trading commissions the pool makes in exchange for supplying liquidity. Users do not have to go through the KYC process because BakerySwap operates in accordance with the AMM model, and transactions are completed immediately.
BakerySwap supports the following operations at this time:
- Trading BEP-20 tokens;
- Supply of liquidity;
- Farming of liquidity tokens;
- Token staking;
- NFT staking;
- NFT marketplace;
- Gallery of top talented NFT artists;
- IDO launchpad;
- A gaming platform for earning NFTs.
- BEP2 vs BEP20 vs ERC20: Which Is The Best Choice For You 2023?
- TOP 20+ Best Staking Coins To Trade & HODL In 2023: A Full Guidance For Crypto Traders
What Is PancakeSwap?
A decentralized exchange called PancakeSwap uses the Binance Smart Chain network. In the PancakeSwap, traders can swiftly and for a low-cost exchange any BEP-20 token. Users are not required to create personal accounts or register with the exchange.
The user only needs to link their wallet to the dapp in order to access the exchange. Rather than using the typical CEX order books, PancakeSwap operates on an automated market maker (AMM). As opposed to traditional exchanges, which rely on buyers and sellers, AMM relies on liquidity pools and suppliers.
In exchange for adding liquidity to pools, liquidity providers receive liquidity tokens (LPs) that reflect their investment in the pool. For their assistance, they get a share of the trading fees from the pool.
Users have the option to make a limit order and trade at a predetermined price in addition to the regular token swap.
The platform now supports the following actions:
- Sale and purchase of tokens;
- Depositing tokens into liquidity pools;
- Token farming;
- Token staking;
- Prediction cards;
- Buying and selling BSC-based NFTs.
On PancakeSwap, tournaments for traders and contests are periodically offered.
BakerySwap vs PancakeSwap: Which DEX Is Better?
The user can easily see that PancakeSwap is much more well-known, has more users, and hence has greater liquidity when comparing it to BakerySwap. Again, the more well-liked DEX prevails in terms of interface.
For those new to the crypto world, the PancakeSwap interface is easier to understand and more organized and informative. BakerySwap charges 0.30 percent of each swap in service costs, whereas PancakeSwap dealers pay 0.25 percent for every trade.
Both exchanges receive assistance from liquidity sources, as was already mentioned. Tokens for liquidity are given to liquidity providers in return.
Moreover, a portion of the trading commissions that the pools produce go to the liquidity providers. And in this instance, BakerySwap liquidity providers are in a better position. They receive 0.25 percent of trading fees, compared to 0.17 percent for PancakeSwap’s liquidity providers.
Additionally, liquidity providers can farm pools with their tokens for added revenue. Users have access to a number of pools under the “Earn/Earning” area of both exchanges, enabling liquidity providers and common users to make money.
There are 17 BakerySvap pools that users can deposit their LP tokens into to earn BAKE or just BAKE and even NFTs to earn extra BAKE. For instance, the “Bread” pool enables exchange users to stake BAKE tokens and receive a 0.84 percent return on investment.
Besides, owners of the Car Collection NFT can bet their tokens to earn a 5.33 percent ROI in BAKE tokens. Additionally, traders can stake partner project tokens in the “Earn Others” section to earn more of the same tokens.
For instance, stake TOKAU to earn additional TOKAU. Traders can stake NFTs in the “NFT” area, which is the last portion. There are several conditions available depending on the pool. For instance, deposit GENESIS NFT to earn BMON tokens or stake ALICE tokens to earn ALICE NFT.
When comparing with Bakeryswap, PancakeSwap provides about 90 farming pools for liquidity providers to invest their LP tokens profitably. For instance, the most well-liked farming pool, CAKE-BNB LP, permits providers to get about 21.66 percent APR.
The developers have included a calculator for users’ convenience that allows you to quickly determine your ROI based on the quantity of staked tokens, the lock time, and the compounding frequency.
Additionally, CAKE tokens can be staked in Syrup Pools by all users of PancakeSwap. There are five Syrup Pools open as of this writing. Users can stake CAKE to gain additional CAKE or stake CAKE to earn tokens from partners.
NFT Marketplace: PancakeSwap vs BakerySwap
The NFT Marketplaces on both exchanges, where users may purchase and sell a variety of digital artworks, are well-known. PancakeSwap includes a sizable portfolio of NFT collections from well-known artists as well as NFT collections that were raised at home. For instance, the Pancake Bunnies collection has more than 900,000 products with a starting price of 0.009 BNB.
Users may keep track of the newest collections, the most popular collections, as well as recently added NFTs on the Marketplace. NFTs on PancakeSwap have strong liquidity, as seen by the addition of 3D Brave Tigers #9390 NFT on 06/07/2022 at 12:38. A few hours later, NFT had a new owner and was being offered for sale.
The BakerySwap NFT Marketplace is a market for the people. NFT can be produced and sold by anyone. There are a lot of NFTs with meme themes (like Musk&Doge or Safepal Meme), as well as different NFT artworks, images, and NFT photos of people and their animals.
There are instances where users build an NFT for fundraising, with the proceeds going to different philanthropic causes. Users can access NFT collections for more well-known projects in the “Partners Stores” section, including the KAKA NFT collection with superhero cards, Tokocrypto NFTs, Binance NFTs, and more.
Users can buy NFTs in different games under a distinct “Game Assets” tab that the creators have built for easier navigation. Alchemy is an option. NFT cards for toys, Binamon, rare cars, and other things.
Other PancakeSwap Features
Lottery and Prediction Card
Two additional items in the PancakeSwap transaction are noteworthy. The lottery is the first. The user can purchase a six-digit ticket, and if the numbers match, the user is given a portion of the “bank.”
“Predictions” is the second item. In reality, it’s a game that doubles as a futures contract. The user may anticipate that the price of a particular item will increase or drop. The cards are refreshed every five minutes, showing who won and who lost.
Periodically, different trader competitions are also held. There are no ongoing tournaments as of this writing. A Dalarnia Trading Competition was held from the latter. To advance in rank, traders were encouraged to form teams to trade some pairs. CAKE, DAR, and prize NFTs totaling $120,000 were given out as prizes.
Other BakerySwap Launchpad Features
The first AMM+NFT DEX to be introduced on the Binance Smart Chain is BakerySwap. It is no surprise that many of the exchange’s services are designed with NFT projects and their users in mind.
Users can use BakerySwap to conduct IDO on the exchange’s internal launchpad in addition to trading and NFTs staking. To run an IDO, users must apply and provide details regarding the project, the official website, the token name, symbol, supply, and other information.
Users can get gaming NFT as a prize in this section. Some NFT can also be exchanged for goods from the real world. For instance, CAR NFTs award three lucky real-world exclusive vehicles, while Soccer NFTs can be redeemed for real-world soccer balls.
Additionally, NFT Combo Meals are offered in this section. Users can deposit BAKE tokens to build their combo and earn more through staking and farming. The higher your combo tier and, thus, the larger the payout, the more BAKE you deposit.
The fortunate can also win the jackpot and receive a combination with a larger staking power for a minimal fee. Your combo can then be staked and sold on the BakerySwap Marketplace.
Top NFT artists can be found on a dedicated platform called Bakery Gallery. The gallery features artwork by SWOG, KoralCorp, Chiara Magni, and other artists. Users also have the option to purchase mystery boxes, which have the potential to contain valuable NFT.
Bakeryswap and Pancakeswap are two of the most popular decentralized exchanges (DEXs) on the Binance Smart Chain (BSC). Both platforms offer a wide range of trading pairs, low fees, and fast transaction times.
Hope that this article can help you choose the most suitable one for your needs.
Disclaimer: The information provided in this article is not investment advice from Cove Markets. Cryptocurrency investment activities are yet to be recognized and protected by the laws in some countries. Cryptocurrencies always contain financial risks.