Binance Chain BEP tokens and Pancake Swap Staking Cake
As an update to this article, I have figured out Pancakeswap and I am now looking into protocols like Llama and Watch. Watch is pretty cool for showing you how you are doing in Defi and Llama has some ridiculous return rates. Pancake Swap was awesome yesterday and a few days ago but all of sudden the returns have dropped significantly. It is time to start looking for the next best thing. Until I find it, Cake and BNB are what I plan to pay attention to the most.
I have been trying to figure out how to use pancake swap for the past few days. I keep seeing signs that if you stake Cake you can earn 220 APY. Sounds good right? I downloaded Trust Wallet and Binance Chain wallet. I did research on Binance Bridge and the DEX. I wanted to figure out how to get ERC20 tokens converted to BNB. I know there are ways to use the bridge but I just couldn't figure it out. I have a Binance US account that is unverified. I ended up using that to convert the Ethereum into BNB. I sent a few BNB to my Trust Wallet and somehow navigated to Pancakeswap.
I swapped half my BNB for Binance Chain tokens and then I staked both in a liquidity pool on Pancake Swap and then I staked my liquidity token back to Pancake again. I am not fully aware of what I did. The thing I do know is that the fees on the Binance chain are like 17 cents when Ethereum fees are like 100 bucks. Binance chain is going be bigger than Ethereum and bigger than Polkadot. They have the financing to give money and tokens away to get projects to move to their chain.
The Binance Dex is amazing. It is not available in the United States but it is essentially a full fledged trading platform that allows you to trade out of your wallet instead of holding funds on an exchange. There is no approval process and it is supposedly free to use for everyone but I guess there are some country restrictions. I tried to use it and I was blocked.
I am not as concerned about making mistakes on the Binance Chain. When you make a mistake with the Ethereum Defi, you need to pay a lot of gas to fix your mistake. As an example, I staked Kyber for a very low amount. I was costing me more to vote than I could have possibly made from staking.
I tried Uniswap until I learned about impermanent loss and my next mission is to figure out how to make my own token on Balancer. When I figure that out I will right a new article.