Here is everything you need to know about staking cake on PancakeSwap.
PancakeSwap is a decentralized exchange for trading BEP20 tokens on the Binance Smart Chain. PancakeSwap uses an Automated Market Maker (AMM) model in which users trade a pool of liquidity. These funds are filled with user funds. They deposit them into the pool and receive tokens from the liquidity provider (or LP) in return. They can use these tokens to claim their share and part of the trading fee.
LP tokens are called FLIP tokens. PancakeSwap also allows users to farm additional tokens: CAKE and SYRUP. Users can deposit LP tokens on the farm, locking them into a process that rewards CAKE users. Users can stake CAKE tokens to receive SYRUP, which will have additional features such as government tokens (and lottery tickets).
Currently, 10 CAKEs per block are awarded to CAKE holders participating in CAKE Pool on PancakeSwap.
You can place your tokens in CAKE Pool if you own CAKE and win CAKE prizes.
With the help of the CAKE Staking Reward Calculator, you can guess what percentage of the CAKE is being staked in order to estimate your earnings.
What is the CAKE staking?
CAKE is a BEP-20 token issued for liquidity providers and on the decentralized exchange PancakeSwap. It is obtained by providing liquidity to pools on PancakeSwap.
As of the time of writing, you can currently earn over 170% APY Staking CAKE in CAKE Pool.
CAKE staking is a bit light and requires a Metamask wallet, Trust wallet, or a Binance Chain wallet containing CAKE and BSC (BNB) to pay for the gas fee. (For example, by using the Binance Chain Wallet extension for Google Chrome, you can import a Ledger wallet into this extension and use the BSC app on your Ledger.)
To get started, make sure you have a Binance Chain Wallet extension with CAKE to stake and BSC to pay gas fees. We also recommend using the Google Chrome browser.
Alternatively, you can use the Metamask BSC connection as in this guide.
How to stake CAKE in CAKE Pool
Start by going to pancakeswap.finance/.
In the upper right corner, you can click “Connect.”
Then click on “Binance Chain Wallet.”
The wallet will open; click on “Connect.”
Then click on “Pools” in the left menu.
Here you will see a list of active pools that you can readily stake on. For our example, we are looking for the group CAKE.
Once you have identified your group, click “Approve Cake.”
The wallet will appear. Click “Confirm.”
Wait for confirmation of the blockchain transaction. The block time is about 3 seconds.
You will then see that the group has changed the format. Click on the “+” button of the CAKE group.
Here you can enter the value and click “Confirm.”
Your wallet will appear.
As mentioned, the wallet will appear, review the transaction details and when everything is correct, click “Confirm.”
Allow the transaction to be confirmed on the blockchain.
Congratulations! You have now stake CAKE on CAKE Pool.
You should see the “Your stake” update with the CAKE scale.
From this view, you can “harvest” to claim or “compound” to reinvest your CAKE rewards by clicking these buttons.
How much cake should you stake?
A minimum amount of cake is not required. But the number of token stakes and when they are staked will determine the return on investment.
Is it a good idea to stake CAKE?
The APR for staking on PancakeSwap symbols is extremely high and can generate healthy passive income. Depending on the pool, you may need to manually collect tokens and put them back into the pool. Check the current APY rate directly on the PancakeSwap network to see the expected ROI.
The more reasons to do so, the easier the stake on CAKE. All you have to do is connect a wallet compatible with CAKE and BNB (BEP20). It only takes about 10 minutes and can be automated after the initial joining.
Staking on CAKE Pool is a bit easy. The hardest part is getting BSC (not BEP2 BNB) and getting familiar with the Binance Wallet Extension, which is very similar to Metamask.
It is important to remember that we used Trust Wallet to convert BEP2 BNB to BEP20 BSC to fund our wallets for this tutorial. This will definitely be a sore point for some users.
There are times when your Wallet browser extension would lose connection with the PancakeSwap exchange. If this happens, please update and try again. You must also disable other wallet extensions to properly use the selected Wallet extension.
Haley Hayward is an experienced writer at gblogo.com, where she’s credited with more than 200 articles covering everything from entrepreneurial stories to mental health at work.
She also oversees the Comment&Questions, which poses important admission questions to experts in the field, and regularly hosts webinars on various aspects of the business school experience.
Prior to joining gblogo.com, Haley honed her skills as a freelance writer, tackling a wide array of topics from petcare to car maintenance.
Haley holds a Master’s degree in English Literature from the University of Edinburgh, Scotland.