PancakeSwap, a multi-chain decentralized exchange (DEX), proposed launching voting escrow CAKE (veCAKE) and voting gauge in recent days, with over 90% of votes in favor of launching the protocol. This initiative is designed to empower CAKE token holders through improved governance leverage, replenish rewards for all stakeholders, and increase liquidity in platform pools.
Over the past 30 days, CAKE has been predicting an uptrend of almost 100%. CAKE tokens can be locked up for up to 4 years by users to earn veCAKE. This model has been pioneered by veCRV’s Curve since 2020 and has been adopted by many DeFI protocols.
CAKE token holders will be able to vote on the Ethereum, Arbitrum and BNB chain farms at launch, which will be supported by other chains that will be launched gradually.
To ensure the health of the protocol, the PancakeSwap team has allocated 40% of emissions to a pair of core liquidity providers, including stablecoins (ETH, BNB, BTC, and CAKE).
PancakeSwap plans to reduce this 40% allocation as more participants are expected to participate in governance. veCAKE token holders also have the opportunity to make money through third-party “bribes” in exchange for incentives provided to specific liquidity pools.
A week ago, PancakeSwap launched a new marketplace for gamers, releasing two exciting gaming titles.
The Voting Gauge launch will take place in various stages, initially covering a liquidity pool with 0.99 CAKE tokens per block as rewards. In later stages, PancakeSwap expects to observe the protocol expanding to other blockchains.