BakerySwap

BakerySwap (BAKE) Introduction

BakerySwap is a multi-chain decentralized exchange (DEX) and NFT-Fi platform offering DeFi tools such as yield farming, lending, staking, and more. Additionally, it integrates an NFT marketplace, using NFTs as financial tools.

The development team operates as a decentralized autonomous organization (DAO), without reserving or pre-selling any tokens for the team. Developers can only earn 1 BAKE for every 100 BAKE mined.

BakerySwap is often described as a faster and more cost-effective version of Uniswap. It operates two types of liquidity pools: one rewards BAKE, while the other rewards other tokens.

On its main chain, the BNB Smart Chain (BSC), users can swap BEP-20 tokens, BNB, and more via liquidity pools hosted on BSC smart contracts. Users can stake BAKE to mine more tokens and lock BAKE with BLP (BakerySwap liquidity provider) tokens in liquidity pools, increasing the liquidity for DEX operations.

Notably, BakerySwap also supports Ethereum and Base Chain, with plans to expand to other popular blockchains, including Bitcoin.

History of BakerySwap

Launched in 2020, BakerySwap was built by a group of anonymous developers based on the Uniswap model. Initially, it was a DEX on the BNB Smart Chain, later expanding into a multi-chain exchange and providing a launchpad for upcoming projects.

How BakerySwap Works

BakerySwap uses the AMM (Automated Market Maker) model popularized by Uniswap. The AMM facilitates token swaps via smart contracts rather than a centralized order book. Let’s take a closer look at how it works.

BakerySwap AMM Model

BakerySwap uses the AMM model by utilizing smart contracts and liquidity pools.

AMMs allow users to trade assets without intermediaries, using a constant product formula (an algorithm that maintains a balance between assets in a platform’s token reserves) to dynamically adjust prices between two assets. These reserves are provided by various cryptocurrencies contributed by BakerySwap users in the liquidity pools.

BakerySwap Liquidity Pools

Users can become liquidity providers by depositing funds into supported liquidity pools. Participants adding liquidity to these pools will receive liquidity provider (LP) tokens, representing their share in the pool.

Users can redeem the LP tokens for the original tokens they provided. Importantly, liquidity providers not only receive LP tokens but also earn trading fees in the process. The trading fee for BakerySwap liquidity pools is 0.30%, of which 0.25% goes to liquidity providers, and the remaining 0.05% is distributed to BAKE holders.

Currently supported BEP-20 liquidity pools include:

• Cake: Stake BTC-BNB BLP to earn BAKE

• Pet Food: Stake PET-BAKE BLP to earn BAKE

• Waffle: Stake BAKE-BUSD BLP to earn BAKE

• Rolls: Stake BUSD-BNB BLP to earn BAKE

• Croissant: Stake BAKE-DOT BLP to earn BAKE

• Latte: Stake USDT-BUSD BLP to earn BAKE

• Toast: Stake ETH-BNB BLP to earn BAKE

• Bread: Directly stake BAKE to earn BAKE

• Doughnut: Stake BAKE-BNB BLP to earn BAKE

These creative names represent various liquidity pools on the BakerySwap platform, each corresponding to different cryptocurrency staking combinations.