PancakeSwap, the leading decentralized exchange (DEX) on the Binance Smart Chain (BSC), is once again making waves in the DeFi space. This time, it’s through the introduction of farming for major trading pairs on the zkSync Layer 2 solution. Days after V3 was launched on the zkSync Era, PancakeSwap launched its farming of CAKE for major trading pairs, including USDC/WETH (0.05% Tier) and USDC/WETH (0.25% Tier).
PancakeSwap Expands Offerings On zkSync Era
PancakeSwap, the leading decentralized exchange (DEX) on the Binance Smart Chain, is delighted to announce a significant development in its journey: the introduction of Farms on the zkSync Era platform. This milestone is a part of PancakeSwap’s ongoing commitment to enhancing the ultimate DeFi experience, making it accessible to all DeFi enthusiasts. The platform is set to introduce Farms for major trading pairs such as USDC/WETH (0.05% Tier) and USDC/WETH (0.25% Tier) on the zkSync Era PancakeSwap.
Yield Farming, also known as liquidity mining, is a process that allows users to earn PancakeSwap’s native token, CAKE, by staking their LP tokens in liquidity pools. This mechanism enables users to earn rewards while maintaining a position in their other tokens. By providing liquidity, users play a crucial role in the smooth operation of decentralized exchanges while simultaneously earning passive income through additional tokens.
The introduction of Farms on the zkSync Era PancakeSwap is a significant step forward in the platform’s expansion. The launch of Farms for major trading pairs such as USDC/WETH (0.05% Tier) and USDC/WETH (0.25% Tier) provides users with numerous opportunities to earn rewards while actively participating in the vibrant DeFi ecosystem.
Users can stake their tokens in the designated liquidity pools and watch their holdings grow over time. As liquidity providers, users play a vital role in facilitating smooth trading operations on the platform, and in return, they earn additional tokens as a reward for their contribution. By actively participating in Farms, users have the opportunity to maximize their yield, optimize capital efficiency, and unlock the full potential of their crypto holdings.
zkSync Era Becomes A Game Changer
zkSync, developed by Matter Labs, is a Layer 2 scaling solution that leverages zero-knowledge proofs to ensure the security of its sidechain. By integrating zkSync, PancakeSwap aims to address the scalability issues that have plagued Ethereum-based DEXs, offering users faster and cheaper transactions without compromising on security.
A few days ago, PancakeSwap’s version 3 went live on zkSync Era, bringing several exciting features, including Swap, Liquidity Provision (LP), Farms, and Initial Farm Offering (IFO).
PancakeSwap’s Swap feature offers users the convenience of swift and cost-efficient token exchanges via an intuitive interface. The platform provides a multi-tier fee structure, ranging from as low as 0.01% to as high as 1%, allowing traders to choose a fee structure that best suits their trading habits and level of engagement with the liquidity pool.
Due to the platform’s low trading fees on zkSync Era, users can effortlessly trade their preferred tokens, benefitting from enhanced liquidity and minimized slippage. Additionally, PancakeSwap’s Liquidity Provision feature enables users to contribute to the platform’s flourishing decentralized exchange ecosystem by providing liquidity.
As liquidity providers, users can earn passive income from trading fees when their liquidity pool is utilized for swaps. According to the announcement, the scalability offered by the zkSync Era allows users to optimize their returns, potentially achieving a remarkable capital multiplier of up to 4000x.
PancakeSwap also offers users the opportunity to earn loyalty points and unlock exclusive NFTs by participating in Swap, LP, and social media tasks. The Galxe campaign presents users with a chance to discover and leverage the power of PancakeSwap within this ecosystem, thereby unlocking the platform’s full potential.
