Comparing Yields Between PancakeSwap and WaultSwap

This article analyzes and examines the yields both platforms are offering and what advantages they have over the other.

John Tunney
May 18, 2021
BSC News


PancakeSwap and WaultSwap are decentralized exchange platforms (DEX). DEXes allow crypto users to securely transact crypto currency peer-to-peer via the internet, without an intermediary. However, both PancakeSwap and WaultSwap go above and beyond being just exchanges, as both platforms also offer yield farming, or liquidity mining. Both exchanges also offer very different APYs for staking with their platform. Let’s take a look at each platform, and dive into some of the differences and how they affect investors.

About WaultSwap

Wault Finance is a decentralized finance hub that aims to be a one-stop-shop for DeFi applications. The platform circumvents traditional hassles that surround crypto applications such as high fees, complex trading interfaces, and other centralized tenets of finance.

Wault’s products include WaultSwap, Wault Launchpad, Wault Locker, as well as plans for future innovation to boost their platform to even higher levels.

Wault is a community-oriented project, and started with a low market cap and no whale-like venture capital investments. 

About PancakeSwap

PancakeSwap is the leading decentralized exchange on Binance Smart Chain, boasting the highest trading volumes in the market. PancakeSwap differs from centralized exchanges in that it only serves as a vehicle for transactions, and does not hold user currency at any point. The AMM also offers incredibly low trading and transaction fees, giving them a leg up on other blockchain competitors.

Much like Wault, PancakeSwap is also community-oriented. They host votes on many potential integrations, such as Syrup Pools and future IFO offerings.

PancakeSwap has established a long term plan by which they will reduce inflation on their $CAKE token by regulating their emission and burn schedule. Increasing the value of $CAKE means that their yields are worth more to investors, meaning that their lower APY is offset by the high future value of $CAKE.

The Differences

There are a handful of differences that distinguish these protocols from each other. As seen below, WaultSwap yields offer a far greater APY than PancakeSwap. 

Of course, all crypto yields change often and should be checked to ensure the investor is maximizing their profit potential. WaultSwap, based on the metrics shown, averages a yield across staked currencies that carries a 5.3x higher APY in comparison to PancakeSwap.

As of now, WaultSwap is offering incredibly competitive APYs compared with PancakeSwap. What is so interesting about this is that PancakeSwap offers far more inflationary rewards to holders, yet their APY falls short when comparing yields to that of WaultSwap. This is because there is less liquidity on PancakeSwap in comparison to WaultSwap, meaning that APY% has to be lower to account for the smaller liquidity. However, the future value of Wault’s tokens remains to be seen, especially when the market stops its current bullish run and begins to level out.

Final Thoughts

The suite of products that Wault offers is impressive, and rivals PancakeSwap in terms of content and innovation. The high yields and low-fees model of WaultSwap makes the exchange incredibly interesting, but only time will tell if it sees the same long-term success that PancakeSwap has. The success of both protocols can only be a good thing for the BSC looking forward, which is in desperate need for solid, secure projects after a series of rugpulls. As the ecosystem recovers from the exploited smart contracts, continually-improving projects like these two protocols are the key to re-establishing the landscape.

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John Tunney

John Tunney is an accomplished analyst and crypto enthusiast. The UCLA alum has been actively reporting and blogging for 3 years, and has a passion for all things finance.

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