# PancakeSwap

> PancakeSwap is a decentralized exchange launched in 2020 on BNB Chain that enables multichain cryptocurrency trading, liquidity provision, yield farming, gaming, NFTs, and governance.

- Canonical URL: https://iq.wiki/wiki/pancakeswap
- Categories: Exchanges & Marketplaces
- Tags: DEX
- Created: 2022-08-07T17:25:52.880Z
- Last updated: 2026-09-28T03:02:27.380Z
- Source: IQ.wiki — the world's largest blockchain and crypto encyclopedia (https://iq.wiki)

---

**PancakeSwap** (launched in September 2020) is a [decentralized exchange](https://iq.wiki/wiki/decentralized-exchange) and finance platform allowing users to trade [cryptocurrencies](https://iq.wiki/wiki/cryptocurrency), earn rewards through [staking](https://iq.wiki/wiki/staking) and [farming](https://iq.wiki/wiki/yield-farming), participate in lotteries, and vote in governance decisions. It operates on 9 different chains, focusing on low fees and efficient transactions.[[1]](#cite-id-cj4i8h0jid7)[[2]](#cite-id-zy1h1lw20qn)

  

## Overview
PancakeSwap is a [Binance Smart Chain](https://iq.wiki/wiki/binance-smart-chain)-based [DEX](https://iq.wiki/wiki/decentralized-exchange) with an [automated market maker (AMM)](https://iq.wiki/wiki/automated-market-maker) model for swapping [BEP-20](https://iq.wiki/wiki/bep-20) tokens. It offers its users various features such as [Liquidity Pools](https://iq.wiki/wiki/liquidity-pool), Swapping, [Yield Farming](https://iq.wiki/wiki/yield-farming), and an NFT profile system.[[13]](#cite-id-upi15fqli8e)  According to [Binance Labs](https://iq.wiki/wiki/binance-labs), ever since it launched back in 2020, The exchange has been regularly audited by [blockchain](https://iq.wiki/wiki/blockchain) security companies, such as Slowmist and [Certik](https://iq.wiki/wiki/certik).[[8]](#cite-id-4mdwmsx43rq)[[9]](#cite-id-i9fvucnm0qh)

  

PancakeSwap has a native tokens called $CAKE, which is a [BEP-20](https://iq.wiki/wiki/binance-smart-chain) standard token, and the token model involves using CAKE as a [utility](https://iq.wiki/wiki/utility-token) [cryptocurrency](https://iq.wiki/wiki/cryptocurrency).[[3]](#cite-id-emh2pouutef)[[4]](#cite-id-tpai16qzvqj)

On February 17, 2021, PancakeSwap became the first billion-dollar project on the [Binance Smart Chain](https://iq.wiki/wiki/binance-smart-chain).[[5]](#cite-id-6suqzd4ihn3)

## History
PancakeSwap was founded by a group of anonymous developers. What made it different at the time of launch was that PancakeSwap was built on [Binance Smart Chain](https://iq.wiki/wiki/binance-smart-chain) (BSC), which offered faster and cheaper transactions compared to [Ethereum](https://iq.wiki/wiki/ethereum) which offered expensive and slow transactions at the time. PancakeSwap is now available on 9 different chains - [Ethereum](https://iq.wiki/wiki/ethereum), [BNB Chain](https://iq.wiki/wiki/binance-smart-chain), [Arbitrum](https://iq.wiki/wiki/arbitrum), [Aptos](https://iq.wiki/wiki/aptos), opBNB, [zkSync](https://iq.wiki/wiki/zksync), [Base](https://iq.wiki/wiki/base), [Linea](https://iq.wiki/wiki/linear-finance), and [Polygon](https://iq.wiki/wiki/polygon) [zkEVM](https://iq.wiki/wiki/zkevm).[[1]](#cite-id-cj4i8h0jid7)[[2]](#cite-id-zy1h1lw20qn)

On the back of its low-[fee](https://iq.wiki/wiki/trading-fee) model (v3 swap fees vary between 0.01% / 0.05% / 0.25% / 1%), PancakeSwap saw rapid growth in both trading volume and [total value locked](https://iq.wiki/wiki/tvl) (TVL). It became one of the industry's largest [decentralized exchanges](https://iq.wiki/wiki/decentralized-exchange) by trading volume in February 2021.[[1]](#cite-id-cj4i8h0jid7)

In March 2024, PancakeSwap introduced its fourth iteration (v4), a modular, hook-enabled [automated market maker](https://iq.wiki/wiki/automated-market-maker) (AMM) architecture that supports multiple pool types and [gas](https://iq.wiki/wiki/gas) optimizations.[[14]](#cite-id-zobhdvua61) This v4 architecture was later rebranded and launched on April 28, 2025 on [BNB Chain](https://iq.wiki/wiki/binance-smart-chain) as PancakeSwap Infinity, the protocol’s rebranded fourth iteration.[[34]](#cite-id-g4ecna8pqf)

The primary selling point of PancakeSwap is that it is a fully [decentralized exchange](https://iq.wiki/wiki/decentralized-exchange) where deals and orders are carried out automatically by [smart contracts](https://iq.wiki/wiki/smart-contract).[[10]](#cite-id-oyua5324frp)

## Products


### Cross-Chain Swap
In June 2025, PancakeSwap implemented a cross-chain swap feature that enables asset exchanges between different [blockchain](https://iq.wiki/wiki/blockchain) networks directly within its platform interface. This development introduced a native solution for performing multichain transactions without requiring external tools or manual bridging processes.

The feature utilizes the [Across](https://iq.wiki/wiki/across) protocol, which facilitates cross-chain communication by relaying liquidity between supported networks. This integration allows transactions to be executed in a short time frame, with the goal of reducing operational steps and minimizing user exposure to external bridging risks.

PancakeSwap's implementation also includes support for the ERC-7683 standard, a protocol interface co-developed with [Uniswap](https://iq.wiki/wiki/uniswap). This standard provides a unified method for [smart contracts](https://iq.wiki/wiki/smart-contract) across different networks to interact during cross-chain operations. It is intended to streamline backend processes and remove the need for intermediary mechanisms.

As of June 2025, the functionality supports direct token swaps from [BNB Chain](https://iq.wiki/wiki/binance-smart-chain) to other networks, including [Ethereum](https://iq.wiki/wiki/ethereum), [Arbitrum](https://iq.wiki/wiki/arbitrum), [Base](https://iq.wiki/wiki/base), and [Optimism](https://iq.wiki/wiki/optimism), among others. Transactions are non-custodial and occur within the PancakeSwap interface, with routing handled via [Across](https://iq.wiki/wiki/across).

This update is part of a broader shift within [decentralized finance](https://iq.wiki/wiki/defi) (DeFi) platforms toward enabling interoperability between networks while maintaining decentralization principles and minimizing friction in the user experience.[[30]](#cite-id-LgptV8Z2ur)[[31]](#cite-id-a0hx42P2F3)[[32]](#cite-id-FkERNw7e3P)

### Exchange

PancakeSwap is an [Automated Market Maker](https://iq.wiki/wiki/automated-market-maker) (AMM), and the Exchange is at the heart of PancakeSwap. The PancakeSwap Exchange offers several features that support decentralized trading including Swapping/Trading without needing to go through a [Centralized Exchange](https://iq.wiki/wiki/cex-centralized-exchange), [Liquidity Pools,](https://iq.wiki/wiki/liquidity-pool) [Yield Farming](https://iq.wiki/wiki/yield-farming), and Initial Farm Offerings.[[12]](#cite-id-ljgc0xdu5rl)

Token swaps on PancakeSwap are a way to trade one token for another via automated [liquidity pools](https://iq.wiki/wiki/liquidity-pool), and also with market makers when trading tokens on [BNB Smart Chain](https://iq.wiki/wiki/binance-smart-chain) and [Ethereum](https://iq.wiki/wiki/ethereum).[[12]](#cite-id-ljgc0xdu5rl)

### V3 Concentrated Liquidity Pool

Concentrated Liquidity (from [Uniswap V3](https://iq.wiki/wiki/uniswap)) enhances the traditional [automated market maker](https://iq.wiki/wiki/automated-market-maker) (AMM) model. It allows [liquidity providers](https://iq.wiki/wiki/liquidity-providers) (LPs) to concentrate their funds in specific price ranges within a [pool](https://iq.wiki/wiki/liquidity-pool), rather than evenly distributing liquidity across the entire trading range in v2.[[25]](#cite-id-tw4qo07pgw)

It results in a much higher relative liquidity level, and [liquidity providers](https://iq.wiki/wiki/liquidity-providers) can earn more [trading fees](https://iq.wiki/wiki/trading-fee) with the same amount of capital.[[26]](#cite-id-cr4amsppr2)

### PancakeSwap Infinity
PancakeSwap Infinity is the protocol’s fourth-iteration [automated market maker](https://iq.wiki/wiki/automated-market-maker) (AMM) architecture, designed as a modular, hook-enabled system that supports multiple pool types, including CLAMM (Concentrated Liquidity Automated Market Maker) and LBAMM (Liquidity Book AMM), and incorporates [gas](https://iq.wiki/wiki/gas) optimizations such as a singleton contract design and ERC‑6909-style accounting.[[14]](#cite-id-zobhdvua61)[[34]](#cite-id-g4ecna8pqf)

Infinity maintains this modular, hook-enabled AMM design, supporting multiple pool types such as CLAMM and LBAMM alongside custom fee structures that can be static or dynamically adjusted via hooks. The protocol incorporates [gas](https://iq.wiki/wiki/gas) optimizations, including a singleton contract architecture and ERC‑6909 accounting, which are intended to significantly reduce pool-creation costs and lower native ETH/BNB swap [gas](https://iq.wiki/wiki/gas) usage compared to earlier versions.[[34]](#cite-id-g4ecna8pqf)[[43]](#cite-id-3wry85kgvl) Infinity is released under an open-source license, enabling external developers to build on and extend its programmable AMM framework while PancakeSwap continues to operate as a multichain [decentralized finance](https://iq.wiki/wiki/defi) (DeFi) platform.[[33]](#cite-id-LK7UZ2GJ9B) The team also announced a Developers Program, an initiative to empower and support developers in the [DeFi](https://iq.wiki/wiki/defi) ecosystem. With $500K USD allocated, the program is designed to foster innovation, creativity, and collaboration within the developer community.[[22]](#cite-id-09bhvfvt22kk)

### Yield Farming

Yield Farms allow users to earn CAKE while supporting PancakeSwap by [staking](https://iq.wiki/wiki/staking) LP Tokens.[[12]](#cite-id-ljgc0xdu5rl)

### Farm Auctions
Farm Auctions are a mechanism for project teams to bid for farm slots to increase token liquidity and trading activity.[[16]](#cite-id-y2d9m6kz5hi)

### Initial Farm Offering (IFO)

An Initial Farm Offering is an event that lets users buy into a limited-time offer to purchase new tokens.[[12]](#cite-id-ljgc0xdu5rl)

### Binance Bridge
Through [Binance](https://iq.wiki/wiki/binance), PancakeSwap offers a mechanism to bridge non-[BEP-20](https://iq.wiki/wiki/bep-20) tokens so they can be used on [BNB Chain](https://iq.wiki/wiki/binance-smart-chain). Using the [Binance Bridge](https://iq.wiki/wiki/bridge), [ERC-20](https://iq.wiki/wiki/erc-20) tokens on the [Ethereum](https://iq.wiki/wiki/ethereum) network can be wrapped into [BEP-20](https://iq.wiki/wiki/bep-20) representations on [BNB Chain](https://iq.wiki/wiki/binance-smart-chain) and later unwrapped, enabling movement of assets between the two networks.[[10]](#cite-id-oyua5324frp)

The [Binance](https://iq.wiki/wiki/binance) [Bridge](https://iq.wiki/wiki/bridge) is used both for transferring assets for trading purposes and for bringing bridged Ethereum-based tokens onto [BNB Chain](https://iq.wiki/wiki/binance-smart-chain) so they can participate in [liquidity provision](https://iq.wiki/wiki/liquidity-providers) and [yield farming](https://iq.wiki/wiki/yield-farming) on PancakeSwap.[[10]](#cite-id-oyua5324frp)

### Bridging

With PancakeSwap's multichain expansion and deployment on [Ethereum](https://iq.wiki/wiki/ethereum) and [Aptos](https://iq.wiki/wiki/aptos). CAKE is a multichain token that is native on [BNB Chain](https://iq.wiki/wiki/binance-smart-chain), but also available on [Ethereum](https://iq.wiki/wiki/ethereum) and [Aptos](https://iq.wiki/wiki/aptos).

CAKE can always be bridged between [Ethereum](https://iq.wiki/wiki/ethereum), [BNB Chain](https://iq.wiki/wiki/binance-smart-chain), [Arbitrum](https://iq.wiki/wiki/arbitrum), [Aptos](https://iq.wiki/wiki/aptos), opBNB, [zkSync](https://iq.wiki/wiki/zksync), [Base](https://iq.wiki/wiki/base), [Linea](https://iq.wiki/wiki/linear-finance), and [Polygon](https://iq.wiki/wiki/polygon) [zkEVM](https://iq.wiki/wiki/zkevm) chains with a 1:1 ratio and without any fee in CAKE.[[17]](#cite-id-sqg32m6umy)

### Simple Staking
In September 2023, PancakeSwap partnered with [Binance](https://iq.wiki/wiki/binance) Earn to offer Simple [Staking](https://iq.wiki/wiki/staking). This product provides single-sided [staking](https://iq.wiki/wiki/staking) of popular tokens such as CAKE, [USDC](https://iq.wiki/wiki/usdc), and [USDT](https://iq.wiki/wiki/tether) on the [BNB Chain](https://iq.wiki/wiki/binance-smart-chain), supported by [Binance](https://iq.wiki/wiki/binance) Simple Earn.

Instead of the usual [staking](https://iq.wiki/wiki/staking) in Farms and [liquidity pools](https://iq.wiki/wiki/liquidity-pool) with pairs of assets, Simple [Staking](https://iq.wiki/wiki/staking) lets participants earn yield by [staking](https://iq.wiki/wiki/staking) a single type of asset. Simple [Staking](https://iq.wiki/wiki/staking) offers a variety of popular tokens for this single-sided yield-earning mechanism.[[18]](#cite-id-blccxh9733d)

### Liquid Staking Integration
PancakeSwap partnered with [Binance](https://iq.wiki/wiki/binance) Earn to offer the [liquid staking](https://iq.wiki/wiki/liquid-staking) integration for [WBETH](https://iq.wiki/wiki/wbeth) (Wrapped Beacon [Ethereum](https://iq.wiki/wiki/ethereum)) token. Through this integration, [ETH](https://iq.wiki/wiki/ethereum) can be converted and swapped to [WBETH](https://iq.wiki/wiki/wbeth) on the [Ethereum](https://iq.wiki/wiki/ethereum) network and [BNB Chain](https://iq.wiki/wiki/binance-smart-chain).[[19]](#cite-id-gb28j1upl4f)

### Gaming Platform
PancakeSwap Gaming MarketPlace is a game publishing platform by PancakeSwap that lists games developed in collaboration with established third-party [crypto](https://iq.wiki/wiki/cryptocurrency) game developers for the PancakeSwap community.[[20]](#cite-id-zqh7dltsln)

### Lottery
Playing the PancakeSwap Lottery involves purchasing tickets that can qualify for CAKE prizes, with outcomes determined by a draw mechanism.[[12]](#cite-id-ljgc0xdu5rl)

### Pottery
Pottery combines CAKE lock-staking with lottery-style prize selection, where participants deposit CAKE into a pooled [staking](https://iq.wiki/wiki/staking) product and a portion of the yield is periodically distributed as larger rewards to selected participants.[[12]](#cite-id-ljgc0xdu5rl)

### NFT Profile System

PancakeSwap supports personalized profiles for users. These profiles allow users to choose a name, join a team, and choose from [NFT](https://iq.wiki/wiki/non-fungible-token-nft) profile images collected to use as their profile's display picture.[[13]](#cite-id-upi15fqli8e)

### PancakeSwap Mini-Program
The PancakeSwap Mini-Program in the [Binance](https://iq.wiki/wiki/binance) application is a collaboration with [Binance](https://iq.wiki/wiki/binance). The Kitchen integrates PancakeSwap’s [decentralized finance](https://iq.wiki/wiki/defi) (DeFi) functions into [Binance](https://iq.wiki/wiki/binance)’s [centralized exchange](https://iq.wiki/wiki/cex-centralized-exchange) interface so that [Binance](https://iq.wiki/wiki/binance) users can access PancakeSwap features within the [Binance](https://iq.wiki/wiki/binance) app.[[21]](#cite-id-964bxexob9s)

### Options
PancakeSwap offers an on-chain options trading product built on its CLAMM (Concentrated Liquidity Automated Market Maker) design, where options are traded and settled directly on-chain using liquidity concentrated in specific price ranges. In this model, traders can take options positions on supported trading pairs, while [liquidity providers](https://iq.wiki/wiki/liquidity-providers) supply capital to CLAMM pools and receive option premiums alongside swap fees generated by trading activity.[[29]](#cite-id-5235cewh4qk)

PancakeSwap has partnered with [Stryke](https://iq.wiki/wiki/stryke) (formerly [Dopex](https://iq.wiki/wiki/dopex)) for this CLAMM options product, combining PancakeSwap's platform with [Stryke](https://iq.wiki/wiki/stryke)'s options protocol to provide on-chain options liquidity, options trading on supported pairs, and premium and fee income for [liquidity providers](https://iq.wiki/wiki/liquidity-providers).[[29]](#cite-id-5235cewh4qk)

### Pre-Access Portal
On September 20, 2026, PancakeSwap introduced the Pre-Access Portal, a product offering time-bound “Pre-Access” campaigns that provide eligible users with indirect, tokenized exposure to private companies before a potential public listing, accessed through [Binance](https://iq.wiki/wiki/binance) Wallet.[[38]](#cite-id-avst9n8wgt)[[39]](#cite-id-xa7f96g0s5)[[40]](#cite-id-xdd34kj7mk) Each campaign is hosted by PancakeSwap, while third-party providers arrange the underlying tokenized exposure to the specified private-market assets.[[38]](#cite-id-avst9n8wgt)[[39]](#cite-id-xa7f96g0s5)

Participation in a Pre-Access campaign involves passing eligibility checks, subscribing during the defined campaign window, and later either claiming the tokenized exposure or receiving a refund, depending on the campaign’s rules and outcome.[[38]](#cite-id-avst9n8wgt)[[39]](#cite-id-xa7f96g0s5) The first campaign, launched on September 21, 2026, was Paimon Finance’s pPOLY, an SPV token offering indirect exposure to [Polymarket](https://iq.wiki/wiki/polymarket)-related private-market assets.[[40]](#cite-id-xdd34kj7mk)[[41]](#cite-id-ydoxjf4sox)[[42]](#cite-id-ta85tzxyp4) This product provides on-chain, economic exposure only and does not confer equity or shares in, or imply endorsement by, partnership with, or confirmed public-listing plans of the underlying companies.[[38]](#cite-id-avst9n8wgt)[[39]](#cite-id-xa7f96g0s5)

## CAKE Token
CAKE is natively a [BEP-20](https://iq.wiki/wiki/bep-20) token on [BNB Chain](https://iq.wiki/wiki/binance-smart-chain) and is made available on the other eight chains supported by PancakeSwap—[Ethereum](https://iq.wiki/wiki/ethereum), [Arbitrum](https://iq.wiki/wiki/arbitrum), [Aptos](https://iq.wiki/wiki/aptos), opBNB, [zkSync](https://iq.wiki/wiki/zksync), [Base](https://iq.wiki/wiki/base), [Linea](https://iq.wiki/wiki/linear-finance), and [Polygon](https://iq.wiki/wiki/polygon) [zkEVM](https://iq.wiki/wiki/zkevm)—through cross-chain representations and bridging mechanisms. PancakeSwap employs the [LayerZero](https://iq.wiki/wiki/layerzero) v1 OFT standard for cross-chain bridging.[[11]](#cite-id-4rd9ylobofu)[[27]](#cite-id-k6ry61rcrmp)

CAKE functions as the [governance token](https://iq.wiki/wiki/governance-token) of the PancakeSwap protocol, which ensures that users can influence policy changes and developmental implementations. It is also used to incentivize the [liquidity providers](https://iq.wiki/wiki/liquidity-providers) of the PancakeSwap platform.[[11]](#cite-id-4rd9ylobofu)

By depositing and locking [Liquidity Provider](https://iq.wiki/wiki/liquidity-providers) tokens, users can stake their tokens to gain incentives. This refers to Farming and the system awards CAKE tokens for it.[[11]](#cite-id-4rd9ylobofu)

### Utility

CAKE token is used to govern the PancakeSwap Ecosystem. It is used in [yield farming](https://iq.wiki/wiki/yield-farming), in PancakeSwap Lottery, it can be [staked](https://iq.wiki/wiki/staking) to earn rewards, it can be used to participate in [IFO](https://iq.wiki/wiki/ifo) token sales, and can be used to create a Pancake Profile and [mint](https://iq.wiki/wiki/minting) [NFTs](https://iq.wiki/wiki/non-fungible-token-nft).[[11]](#cite-id-4rd9ylobofu)

### Tokenomics
CAKE has a hard cap set at 400M, following a governance proposal approved on January 16, 2026 that reduced the previously agreed 450M cap.[[35]](#cite-id-r04pddqzx1) An earlier proposal to lower the cap from 750M to 450M was put forward on December 28, 2023, presented to the community for voting, and passed before this later reduction.[[11]](#cite-id-4rd9ylobofu)

Under CAKE [Tokenomics](https://iq.wiki/wiki/tokenomics) 3.0, PancakeSwap targets an annual deflation rate of at least ~4% and a total CAKE supply reduction of ~20% by 2030, using a buy-back-and-burn model funded by protocol fees from products such as swaps, perpetuals, and lotteries.[[35]](#cite-id-r04pddqzx1) The team aims to make deflation higher than emission by building [deflationary](https://iq.wiki/wiki/deflationary-token) mechanisms into PancakeSwap's products so that more CAKE leaves circulation than is produced.[[11]](#cite-id-4rd9ylobofu)

PancakeSwap regularly conducts token burns every week. For example, on March 18, 2024, PancakeSwap announced the [burn](https://iq.wiki/wiki/token-burn) of about 8.9 million CAKE tokens, worth $37 million. The announcement came with a breakdown of the token burn showing that [trading fees](https://iq.wiki/wiki/trading-fee) from [crypto](https://iq.wiki/wiki/cryptocurrency) swaps and perpetual in PancakeSwap’s V2 saw 188,000 tokens worth $780,000 burnt which is a 5% increase. Predictions and lottery services saw the burn of 46,000 and 30,000 CAKE respectively. The [DEX](https://iq.wiki/wiki/decentralized-exchange) also revealed burns of [trading fees](https://iq.wiki/wiki/trading-fee) derived from PancakeSwap’s V3 which were 129,000 CAKE equivalent to $536,000.[[23]](#cite-id-z0ij28ar7x)[[24]](#cite-id-3gi1db5yk2t)

### veCAKE
veCAKE stands for vote-escrowed CAKE and was PancakeSwap’s mechanism for locking CAKE to obtain non-transferable voting power. It was used for protocol governance and the [Gauges](https://iq.wiki/wiki/gauges) Voting system, allowing users to vote on broader governance proposals and influence the allocation of CAKE emissions within [liquidity pools](https://iq.wiki/wiki/liquidity-pool).[[36]](#cite-id-03erq2bkg1)

As part of the implementation of CAKE [Tokenomics](https://iq.wiki/wiki/tokenomics) 3.0, veCAKE and [Gauges](https://iq.wiki/wiki/gauges) Voting were fully retired, with the final gauge voting epoch ending and veCAKE and CAKE [staking](https://iq.wiki/wiki/staking) unlocked on April 23, 2025.[[37]](#cite-id-46gtbbu97a) Users were given a limited redemption window until October 23, 2025 to redeem their staked CAKE and veCAKE at a 1:1 ratio, after which veCAKE ceased to function as a live governance or incentive mechanism.[[36]](#cite-id-03erq2bkg1)

#### veCAKE Utility
Previously, veCAKE provided utility through weekly rewards, revenue sharing, and boosted yields linked to CAKE [staking](https://iq.wiki/wiki/staking), as well as participation in [Gauges](https://iq.wiki/wiki/gauges) Voting to influence and boost CAKE emissions in preferred pools on a bi-weekly cycle.[[28]](#cite-id-d0sbv0ku20j) It also enabled governance voting on matters such as gauge approvals, protocol changes, and emission adjustments, and was used to access certain liquidity rewards and [IFO](https://iq.wiki/wiki/ifo) allocations via iCAKE.[[28]](#cite-id-d0sbv0ku20j)

These utilities were phased out as part of CAKE [Tokenomics](https://iq.wiki/wiki/tokenomics) 3.0: veCAKE-based boosts for farming and revenue sharing were wound down between April 24 and May 7, 2025, and revenue sharing from v3 [trading fees](https://iq.wiki/wiki/trading-fee) ended on May 7, 2025, with those fee allocations redirected to CAKE burns.[[37]](#cite-id-46gtbbu97a)[[36]](#cite-id-03erq2bkg1) Since then, CAKE governance and incentive design have operated under the [Tokenomics](https://iq.wiki/wiki/tokenomics) 3.0 framework, which emphasizes fee-funded buy-back-and-burn mechanisms and a deflationary supply target.[[35]](#cite-id-r04pddqzx1)

## Partnerships

On June 6, 2022, [Binance Labs](https://iq.wiki/wiki/binance-labs), the venture capital and incubation arm of [Binance](https://iq.wiki/wiki/binance), announced its investment in PancakeSwap’s [utility](https://iq.wiki/wiki/utility-token) and [governance token](https://iq.wiki/wiki/governance-token) (CAKE). The investment was said to be part of [Binance](https://iq.wiki/wiki/binance) Labs’ mission to facilitate the next wave of global [blockchain](https://iq.wiki/wiki/blockchain) adoption by providing technology development, marketing, community support, and enterprise solutions for [Web3](https://iq.wiki/wiki/web3) transformation.[[7]](#cite-id-5f1ciw5wkcp)[[6]](#cite-id-8zstq91q5tl)