CAKE Tokenomics
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Our goal at PancakeSwap is to build a decentralized ecosystem that prioritizes flexibility and sustainability of the CAKE community, liquidity providers, and PancakeSwap supporters.
PancakeSwap’s target is an annual deflation rate of at least ~4% per year and a total CAKE supply reduction of ~20% by 2030. To achieve this, PancakeSwap implements a buy-back-and-burn strategy, ultimately leading to a deflationary CAKE token.
Burns are driven by every product in the PancakeSwap ecosystem, specifically a large share of fees from:
Perpetual trading (20% of all profits)
IFOs (100% of all fees)
Prediction and Lottery products (3% of each round)
Emissions are carefully managed to ensure liquidity is directed to the most productive pools and products. PancakeSwap’s focus is on scaling volume growth by optimizing liquidity incentives and boosting revenue per CAKE spent. Every decision revolves around the goal of creating real revenue and contributing to long-term success for the entire community. Products that receive CAKE emissions include:
Multichain farms
Lottery
Ecosystem Growth
To confirm that the circulating CAKE supply shown on the PancakeSwap homepage is correct:
Then, subtract this burned amount from the "Total Supply" that BscScan shows.
This gives you the actual CAKE supply.
Yes, CAKE now has a hard cap set at 450M.
A proposal for the latest cap adjustment was put forward on December 28, 2023. This proposal aimed to further decrease the cap from 750M to 450M. It was subsequently presented to our community for voting and was successfully passed.
(15-23% of trading fees)
Head to the CAKE token contract on BscScan and That's the total amount of CAKE that's been burned (removed from circulation FOREVER, and impossible to ever retrieve).
Note: CAKE locked forever in the legacy CAKE pool is also considered burned as it is irretrievable. This accounts for this.
For more details on the voting proposal, please follow this link:
The Chefs aim to make deflation higher than emission by building deflationary mechanisms into PancakeSwap's products. The goal is for more CAKE to leave circulation than the amount of CAKE that's produced. Check the for details on present and upcoming deflationary mechanisms.
