Decentralized Exchange (DEX)

PancakeSwap is a decentralized exchange built on the Binance Smart Chain, allowing users to trade BEP-20 tokens, which are specific to the Binance Smart Chain. Similar to platforms like UniSwap, PancakeSwap employs an automated market maker (AMM) system, eliminating the need for an intermediary to facilitate trading. Users can also participate in liquidity provision, yield farming to earn CAKE tokens, and even take part in lotteries. The platform is known for its low transaction costs compared to other exchanges, making it an attractive option for many traders and liquidity providers. Binance Smart Chain, on which PancakeSwap is built, is known for its speed and cost-effectiveness compared to its competitors, such as Ethereum.