Binance Founder Reacts as PancakeSwap Burns 339K CAKE Tokens
Changpeng Zhao (CZ), the founder and former CEO of the Binance crypto exchange, reacts as multi-chain DEX PancakeSwap burns over 330,000 CAKE tokens. On Monday, PancakeSwap provided an insight into its net burn update for the week, highlighting the number of CAKE tokens the system minted and burned over the past week. https://twitter.com/PancakeSwap/status/1904196792864125387Number of CAKE Burned and Minted According to the update, PancakeSwap burned 569,000 CAKE tokens worth around $1.44 million from various sources, including trading fees from AMM (automated market maker) V2 and V3. Similarly, the DEX minted and allocated 230,000 CAKE tokens over the past week, worth about $526,000. After subtracting the total CAKE minted from those burned, PancakeSwap recorded a net deflation of 339,000 CAKE. This suggests that the DEX permanently removed 339,000 CAKE from circulation over the past week, representing 0.12% of the supply. At the current exchange rate of $2.36, the 339,000 CAKE burned are worth $800,040. Binance CZ Reacts PancakeSwaps latest incineration has made the rounds within the crypto community. This attracted the attention of former Binance CEO Changpeng Zhao, who expressed optimism regarding the deflationary trend for CAKE. He stressed that it is always good to see deflation.Ongoing CAKE Burn CampaignIt bears mentioning that CAKE is PancakeSwaps native token. Over the past few years, the multi-chain DEX has leveraged the trading fees from various sources like AMM V2 and V3 to burn the token. Before its latest update, PancakeSwap only disclosed the amount of CAKE burned weekly without showing those minted and added to the supply. However, this week, the DEX changed its reporting style to a simpler format, highlighting the number of CAKE burned and minted. Based on the shift, the net CAKE deflation (equivalent to subtracting the tokens created from those burned) gives users a perfect understanding of the number of CAKE permanently removed from circulation weekly. Following its latest burn, CAKE has a total supply of 372,497,738 (372.49 million) tokens, with 289,339,855 (289.34 million) tokens currently in circulation. At press time, CAKE has declined 10.89% over the past 24 hours to $2.36. In comparison, the token was down only 0.70% in the past week.
Text source: The Crypto Basic
