PancakeSwap proposal to boost liquidity by redirecting CAKE passes with 99% votes
- PancakeSwap’s proposal to reallocate CAKE emissions to a locker ecosystem has been approved with a vast majority vote from the community.
- The DeFi protocol is strategically deploying CAKE to enhance liquidity and efficiency of staking pools.
- CAKE price is $2.612 at the time of writing, up 3.6% on the day.
DeFi protocol PancakeSwap (CAKE) announced on Friday that it gained approval from the community on a proposal to reallocate CAKE emissions. The proposal intends to redirect emissions to strategic pools as bribes in order to improve liquidity and efficiency for users.
There is no proposed increase in overall emissions under the proposal, which passed with 99% of the votes casted.
Strategic pools to receive bribes, reallocation of CAKE emissions
The CAKE kitchen has proposed redirecting current emissions that go to farming pools and allocating them to locker protocol bribes.
The proposal to reallocate CAKE emissions to the veCAKE locker ecosystem has been approved.
— PancakeSwap v4 (@PancakeSwap) May 3, 2024
We're now strategically deploying bribes across CakePie, StakeDAO, & Hidden Hand to enhance liquidity in these pools: BNB-USDT, USDT-BNB, CAKE-BNB, & CAKE-USDT.
This strategic…
The proposal says it will start with 500 CAKE tokens and eventually direct greater emissions to high-volume pools. This action will help grow liquidity, the protocol said, and metrics like pool volumes, total value of assets locked (TVL) and capital efficiency will be used to measure success.
These actions will not impact the deflationary status of CAKE as no emissions have been added or removed, only redirected.
The proposal received 99% votes in favor, passing with a vast majority.
Another catalyst that may have influenced CAKE price is the project’s recent tweet announcing a new product launch coming up.
️ We're gearing up to launch a new product and need your help!
— PancakeSwap v4 (@PancakeSwap) May 1, 2024
We're looking for some community members to help us test our new product to identify bugs, conduct initial testing, and provide feedback!
If you're interested, Register your interest here:…
CAKE price is $2.612 at the time of writing, up more than 3% on the day.
Author
Ekta Mourya
FXStreet
Ekta Mourya has extensive experience in fundamental and on-chain analysis, particularly focused on impact of macroeconomics and central bank policies on cryptocurrencies.
