Then you'll need to convert it to Binance Smart Chain to use it at PancakeSwap. The first step is to purchase some Binance Coin (BNB) from Binance.US and transfer it to your wallet. Unlike centralized exchanges, you won’t have to input a bunch of personal data-you don’t even have to create a profile.ĭecrypt opted to use Trust Wallet on a smartphone. Yes, MetaMask is an Ethereum wallet, but it can be configured to work with Binance Smart Chain. PancakeSwap works with wallets such as Trust Wallet, MathWallet, Binance Chain Wallet, and even MetaMask. You will need your own crypto wallet to use PancakeSwap, as the DEX does not support fiat currency. It could be worth your while to take the time to figure it out, though. Granted, as with other DEXs, crypto newbies will likely struggle to navigate PancakeSwap and understand its myriad features. If you’re willing to lock up your tokens for a while, the rewards can be very plentiful, particularly with some of the liquidity pools and staking options. PancakeSwap cuts out the middlemen of centralized exchanges, letting other users reap the rewards instead. PancakeSwap is the latest in a long line of food-themed crypto projects, including SushiSwap, Yam Finance, BakerySwap, and Kimchi Finance. It is one of the largest such DEXs on the Binance Smart Chain, although there are DEXs on Ethereum (such as Uniswap) with significantly higher average trading volume. PancakeSwap is part of the rising wave of DeFi services that enable crypto traders to conduct transactions with trade tokens without a middleman taking a significant cut of the funds. That allows you to make the swap you want, and users who keep their coins in the pool earn rewards all the while. Rather than dealing with an order book and finding someone else who wants to swap the tokens you have for the ones you want, users lock their tokens into a liquidity pool via smart contracts. Like many other DEXs, PancakeSwap is built on an automated market maker (AMM) system, which relies on user-fueled liquidity pools to enable crypto trades. PancakeSwap is used specifically for BEP-20 tokens running on Binance Smart Chain, although it’s possible to bring over tokens from other platforms via Binance Bridge and “wrap” them as a BEP-20 token for use on the DEX.

The service looks and feels very similar to the popular Ethereum DEX, Uniswap. It is built on automated smart contracts deployed on Binance Smart Chain, the blockchain platform run by crypto exchange Binance.Įven though Binance operates a centralized exchange service, it does not control or operate PancakeSwap-it was built by anonymous developers. PancakeSwap is a decentralized exchange that allows you to trade cryptocurrencies and tokens without a centralized intermediary, keeping custody of your tokens all the while.

Uniswap vs binance dex