#PancakeSwap proposes to reduce total supply by 40%, #CAKE "pump" by 25%
This can be considered one of DEX PancakeSwap's efforts to reduce the annual CAKE token inflation rate to only 3 - 5%.
On the afternoon of December 21, 2023, the leading DEX on the BNB Chain ecosystem, PancakeSwap, proposed adjusting the total supply of CAKE tokens from the current 750 million to 450 million, equivalent to a 40% reduction.
This move is part of CAKE's plan to reduce annual inflation to only 3 - 5%, in line with the "ultrasound CAKE" journey to transform PancakeSwap tokenomics to a long-term deflationary model.
Launched in 2020, PancakeSwap is currently the decentralized trading platform with the second largest volume and market share in the market, only behind Uniswap. Over the past year or so, PancakeSwap has significantly reformed the tokenomics model, not only in terms of issuance volume but also development strategy.
From improving the CAKE v2.5 tokenomics model, implementing the veCAKE model, launching the gaming marketplace and deploying additional integrated products on many networks of Base, Linea, Arbitrum One, zkSync Era. This DEX even shares transaction fee revenue with users holding CAKE.
After the news of reduced supply, CAKE price immediately reacted positively, recording an increase of more than 25% on Binance's 4H chart. At the time of writing, CAKE is trading around the 2.5 USD mark, growing significantly compared to 2.2 USD before the announcement.#TDR_now #TDR
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@vananh113399 Congratulations to the Sidra community on the exciting launch of Sidra Bank's main network. Money cannot buy everything. Transactions can only be made through official channels.
@omni1959 Great collaboration! Starknet's 3rd layer applications will benefit greatly from Avail's support. Impressive strategic move towards fractal scale in StarkWare's ecosystem.