Author: Andrey Sergeenkov
Carefully! Lots of text.
BakerySwap is a BNB Smart Chain based DeFi protocol that offers lucrative rewards. Operates as a decentralized exchange (DEX) and uses an automatic market maker (AMM) model.
In this guide, you'll learn how to stake funds, create custom NFT combos, have your own NFT pets, and use other protocol features!
Introduction
In the DeFi space, you can find many projects on the topic of food and food products. All of these protocols work on the same principle: users provide liquidity and receive tokens in return.
While many people associate DeFi with the Ethereum blockchain, more and more new projects are launching on the BNB Smart Chain (BSC) as it offers low fees and fast transaction confirmations.
In this article we will talk about BakerySwap, a decentralized exchange based on BNB Smart Chain.
What is BakerySwap
BakerySwap is a decentralized exchange that uses an automated market maker (AMM) model called Uniswap.
Exchange BakerySwap
BakerySwap is one of the first projects to use BSC to build a DEX with AMM. It is also one of the few BNB Smart Chain-based DeFi projects to support altcoin liquidity pools.
Like other AMM platforms, BakerySwap does not have an order book to match offers from sellers and buyers. Instead, trades take place in liquidity pools, and BakerySwap backers and users add assets to these pools.
For adding liquidity to pools, users receive liquidity provider (LP) tokens in an amount corresponding to their share in the pool. They can then convert these LP tokens back into the original tokens contributed to the pool. The amount of funds received also depends on their share in the pool. In exchange for providing liquidity, they receive income from trading fees in this pool.
Farming BAKE
As you would expect from a platform called BakerySwap, its native token is called BAKE. It can be obtained in several ways. Users can farm a token by staking BAKE or providing liquidity to one of the pools and then staking liquidity pool tokens (BLP).
For example, if you provide liquidity to the DOT-BNB pool, you will receive DOT-BNB BLP tokens. These BLP tokens can then be used to farm BAKE. BAKE can also be freely purchased on the open market without farming. Later in the article we will talk in more detail about the various features of the project.
Cash liquidity BakerySwap
On BakerySwap, BAKE token holders have access to a themed menu with references to baking. If you choose Bread, you can stake BAKE and earn even more BAKE. The corresponding BLP tokens can be contributed to other pools with the names of baked goods: Doughnut, Waffle, Rolls, Croissant and so on. Please note that the potential ROI for each of these pools is different.
Are you hungry already?
As of November 2020, the platform supports the following liquidity pools with BEP20:
Bread: staking BAKE to earn BAKE
Doughnut: staking BLP BAKE-BNB to earn BAKE
Waffle: BLP BAKE-BUSD staking to earn BAKE
Rolls: BLP BUSD-BNB staking to earn BAKE
Croissant: staking BLP BAKE-DOT to earn BAKE
Latte (Латте): Staking BLP USDT-BUSD для заработка BAKE
Toast: staking BLP ETH-BNB to earn BAKE
Cake: staking BLP BTC-BNB to earn BAKE
Using BakerySwap
To use the capabilities of the BakerySwap website, you must connect the appropriate wallet. We recommend using MetaMask or WalletConnect. Although MetaMask is an Ethereum wallet, it supports the BNB Smart Chain and DApps of this blockchain.
If you decide to use MetaMask, read the How to Use MetaMask guide and then follow the instructions in this article to connect it to the BNB Smart Chain.
After correct setup, you can unlock your wallet and get additional information on the website.
BakerySwap Dashboard.
Adding liquidity
The process of adding liquidity to BakerySwap is almost the same as adding liquidity on Uniswap or similar platforms. First, you need to add liquidity to the DEX and stake both tokens to participate in a specific liquidity pool. After providing liquidity, you can start farming BAKE.
To add liquidity, open the Exchange item in the top corner and select the Pool tab. Then click the “Add Liquidity” button.
Adding liquidity to BakerySwap.
Now you need to select the token pair for which you want to provide liquidity. In this example, we are using BNB and BAKE, so for providing liquidity we will receive the BLP token BAKE-BNB.
Selecting a pair of tokens to provide liquidity.
After receiving BLP tokens, you need to go to the “Earning” section and select the option corresponding to your BLP tokens. In this example we will use the Doughnut pool.
Staking BLP tokens BAKE-BNB to earn BAKE.
Specify the amount of tokens you want to stake and confirm the transaction. After this you can close the page. The amount of BAKE received can be checked at any time. Earned BAKE is automatically credited to your account when you open or close staking BLP tokens. Tokens can be credited manually by clicking the “Harvest” button.
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Other features
So, we have looked at the main functionality of BakerySwap. However, that's not all! There are other unique features available to users.
One of them is an NFT supermarket, where, as the name suggests, you can purchase non-fungible tokens. They resemble unique digital pets on the blockchain.
Another unique feature is the BakerySwap Launchpad, where you can access recently launched projects on BSC. However, unlike Binance Launchpad, here you will not find “regular” tokens, but NFTs!
The pioneer of the initial decentralized offering (IDO) was the blockchain-based game Battle Pets. In it, players can breed, trade, and battle their NFT pets powered by the BNB Smart Chain. Stay tuned for more exciting projects to come in the future!
Pool NFT-combo from BakerySwap
BakerySwap also allows you to create “special dishes” called NFT combos. Creating them involves blocking BAKE, as well as adding an element of randomness. The more BAKE you lock, the higher level of NFT combos will be available to you. As a result, you will be able to increase your share of coins and earn even more BAKE in the future by farming with BLP tokens. A guide to creating an NFT combo can be found at this link.
The created combo could be disassembled at any time and get back 90% of the BAKE that was spent on its creation. However, at the time of writing, all NFT combos were already sold out. It seems that honest validators (“bakers”) regularly add them to their arsenal.
BakerySwap NFT Combo Dashboard.
Существует четыре вида NFT-комбо, каждый из которых требует разного количества BAKE.
Basic: 10,000–20,000 BAKE
Regular: 20,000–50,000 BAKE
Luxury: 50,000–100,000 BAKE
Supreme: from 100,000 BAKE
Remember that each of them will have a different share of coins. It depends on the amount of BAKE staked and the random multiplier. In other words, the more BAKE you lock, the higher the potential share of coins will be.
Reliability of BakerySwap
There have been no reports of problems with BakerySwap at this time. The BakerySwap smart contract was audited, the results of which can be found in this report.
However, investing in a smart contract is always risky due to the possibility of bugs that were not noticed during a code audit. Never deposit more funds than you are willing to lose.
Summary
BakerySwap is a comprehensive DeFi ecosystem powered by BNB Smart Chain. The BakerySwap development team is confident that their service is a fast, affordable and, most importantly, delicious trading solution!
BakerySwap opens up many different opportunities for users: from swapping BEP-20 tokens and receiving passive income by staking BAKE to creating special NFT combos.
