#BAKE BakerySwap is an automated market maker and a marketplace for non-fungible tokens hosted on the Binance Smart Chain. It is not the first decentralized exchange in the decentralized finance sector, as there are other projects for swapping tokens like SushiSwap and Uniswap. However, BakerySwap (BAKE) is the first open-source automated market maker and DEX.
Interested in BakerySwap (BAKE), but not sure what it’s all about or where to even begin? No worries. This guide is designed to teach you everything you need to know about the project and get you ready to jump into the most user-friendly trading experience available on the market.
How Does BakerySwap Work?
BakerySwap can be compared with Uniswap, another well-known protocol for token swaps. While Uniswap is hosted on the Ethereum blockchain, BakerySwap works as a decentralized application for AMM and DEX operations on the Binance Smart Chain.
BakerySwap removes the middleman from the equation of swapping and instead uses an AMM model where users can exchange their tokens through smart contracts. Since there are no order books in the system, there are no third-party interferences. The liquidity pools are an integral part of the system as users can swap and exchange tokens based on the provided liquidity. Liquidity pools are supported by network participants on the BakerySwap platform.
Users who are liquidity providers can deposit their token balances into appropriate liquidity pools to support the DEX and AMM system in exchange for rewards. Traders who swap their tokens have to pay trading fees and these fees are distributed to liquidity providers to incentivize participation.
BakerySwap has an array of financial services, which includes token swaps and exchanges, farming, liquidity pools, wallet integration, launchpad, and liquidity addition.
Who Are the Founders of BakerySwap? (History of BakerySwap)
BakerySwap was founded in 2020, representing a relatively new project, and was created as a fork of Uniswap, like SushiSwap before it. The project was created and developed by a team of anonymous developers who see a bright future in the decentralized autonomous organization model.
The BakerySwap team, aside from enjoying anonymity, is also against initial coin offerings, token pre-sales, and reservations of tokens for the dev team. That is why the team has no share in the existing total supply of BAKE. The team receives 1% of all BAKE tokens that are farmed within the farming feature. Based on that, the dev team receives 1 BAKE token for every 100 BAKE tokens farmed.
What Makes BakerySwap Unique?
Perhaps “unique” wouldn’t go well with the word “fork” in the world of blockchain, but BakerySwap makes a unique addition to the DeFi market thanks to its features. BakerySwap creates a synthesis of some of the most popular services and features in decentralized finance, which makes it a unique project.
Another element that makes BakerySwap innovative is the combination of the AMM and DEX models. Users can swap tokens with smart contracts instead of using order books, which is how the swapping process is further decentralized without a middleman. BakerySwap is the first project of its kind to be hosted on the Binance Smart Chain, and also one of only a few DeFi projects that offer liquidity pools for altcoins.
How Many BakerySwap (BAKE) Coins Are There in Circulation?
There are currently 288,705,145 BAKE in circulation out of a total of 277,237,400 BAKE BAKE. BakerySwap, like Bitcoin and many other cryptos, has a limited total supply of BAKE tokens. The finite total supply acts as an anti-inflation mechanism and means that BAKE could be a good store of value in the long term.
Tokens are released according to a tapering emission schedule over a period of about 24 years. As BAKE is a governance token, its holders could potentially vote to alter the release schedule. The number of BAKE coins in circulation multiplied by the live price of BakerySwap equals the market cap. The market cap determines the rank of BAKE in comparison with its crypto peers and also defines its market share.
Other Technical Data
BakerySwap has numerous features that match some of the most popular services in the DeFi sector. These features include DEX, AMM, NFT marketplace, farming, staking BAKE for NFTs, liquidity pools and liquidity addition, and wallet integration. Aside from the BAKE token, the network also has Bakery liquidity provider tokens which are specifically used for rewarding liquidity providers. BLP tokens can then be staked or exchanged for BAKE.
Users can exchange altcoins, BEP-20 tokens, BNB, and more through the use of liquidity pools that are hosted on BSC smart contracts. Farming is performed through staking BAKE to earn more BAKE tokens. Users can store BAKE and BLP in liquidity pools to create more liquidity for DEX operations, while the two types of liquidity pools differ in rewards.
