News & Analyses

Proposal to reallocate CAKE emissions 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 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. 

CAKE price is $2.612 at the time of writing, up more than 3% on the day. 

Source link

News & Analyses Analyses