blockchainreporter.net
PancakeSwap V4 has executed a significant token burn, eliminating 8,589,242 $CAKE tokens. The value of these token burn is approximately $18 million USD. This strategic move aims to enhance the token’s scarcity and value over time. It will boost investor confidence and support long-term sustainability in the decentralized finance (DeFi) market.
🔥 8,589,242 $CAKE just burned – that’s $18M!
— PancakeSwap v4🥞 (@PancakeSwap) July 1, 2024
💰 Trading fees (AMM V2): 82k CAKE ($176k) -44%
💰 Trading fees (AMM V3): 144k CAKE ($309k) +82%
💰 Trading fees (Non-AMM like Perpetual, Position manager etc): 0.4k CAKE ($1k) -94%
🔮 Prediction: 63k CAKE ($136k) +45%
🎟️ Lottery:… pic.twitter.com/oGgdFmcf5S
PancakeSwap Implements Strategic Token Burn for Economic Strengthening
Token burn is the goal-oriented process that has been implemented by PancakeSwap in order to improve token distribution and its economy. In exchange, it seeks to reduce the circulating supply of the $CAKE tokens and apply deflation on the token’s price.
The burned tokens are proportional to what share of multiple revenue streams include PancakeSwap. Importantly, when it comes to the trading fees, the different protocols within the platform were unrealistic in their results. Participations in the AMM V2 have been 82,000 CAKE ($176,000 USD) and again that is 44% below. Trading fees of AMM V3 jumps to 144,000 CAKE ($309,000 USD) which is 82% up.
Prediction Activities Surge on PancakeSwap with 45% Growth in CAKE Contributions
The activities related to prediction also went up to 63,000 CAKE ($136,000 USD with 45% growth). Furthermore, the lottery raised 33,000 CAKE ($69,000 USD) with an overall 39% increase.
On the other hand, trading activities non- AMM, NFT sales, and gaming revenues had experienced different levels of decline or increase. This further emphasizes that PancakeSwap generates revenue through various sources and that the company seeks to maximize operational efficiency and profitability in the DeFi industry.