The popularity of De-Fi is making way for different De-Fi platforms. PancakeSwap and SushiSwap are both DEZ, which means decentralized exchanges.
PancakeSwap and SushiSwap are compared since they both are forks for UniSwap, another popular De-Fi exchange. They are not only DeFi but are Automated market maker models as well.
With the blockchain getting bigger and more advanced than ever, techniques, even like trading, have become old. People now follow a little updated version of trading for investments, “Swapping”.
PancakeSwap and SushiSwap are both a type of cryptocurrency exchanges that are used for swapping these cryptocurrency assets between different types of blockchains.
Key Takeaways
- PancakeSwap and SushiSwap are both decentralized exchanges on the blockchain.
- PancakeSwap has lower fees and faster transaction times compared to SushiSwap.
- SushiSwap offers more advanced features, such as margin trading and limit orders, while PancakeSwap has a simpler user interface.
PancakeSwap vs SushiSwap
The difference between PancakeSwap and SushiSwap is that the governance token of PancakeSwap is CAKE, and the governance token of SushiSwap is SUSHI. PancakeSwap has features of lottery and NFT on its platform, while SushiSwap does not have these features. Instead, the main interference is based on a theme of a Japanese restaurant.
PancakeSwap is a cryptocurrency exchange platform that is built for BSC (Binance Smart Chain). People compare it with another popular cryptocurrency exchange platform, UniSwap, but the two have certain differences.
PancakeSwap has added features that are focused on the user community.
SushiSwap is a Defi exchange system where investors or traders trade their digital assets against liquidity pools.
It offers its users its own governance token, that is, SUSHI, and the ones who have it, has the power of governance rights and to vote on proposals, which is a very important power.
Comparison Table
| Parameters of Comparison | PancakeSwap | SushiSwap |
|---|---|---|
| Year of discovery | 20 September 2020 | 24 August 2020 |
| Discovered by | They are called PancakeSwap founders and are anonymous. | Chef Nomi, a name for an anonymous group or an individual. |
| Transaction fees | 0.2% transactions fees | 0.3% trading fees |
| Rates | PancakeSwap is cheaper than SushiSwap. | SushiSwap is more expensive than PancakeSwap. |
| Governance Token | CAKE | SUSHI |
What is PancakeSwap?
PancakeSwap is a decentralized exchange based on an AMM model. AMM translates into an Automated market maker, and it means that one can trade on liquidity pools instead of a need to march an order book with someone else.
Users receive LPs. These are liquidity power in return for their depositing their funds in the pool.
PancakeSwap has its own governance token, which is a token that gives its holder to have their voices heard by giving them rights. The main token of the platform is CAKE, and that is a BEP-20 token on the BSC.
Another token of PancakeSwap is SYRUP, but it is not available for sale. Different LP tokens have different return rates.
PancakeSwap has the option to enter the lottery. A particular time period of a lottery is about 6 hours. The rate of a single ticket is worth 10 CAKE. It is all about luck, just like any other lottery, as the winner is chosen at random.
Aside from this extra feature, one can win an NFT. The person can register on the platform to win it, and the winner is chosen at random for NFT as well.
What is SushiSwap?
SushiSwap is a food-themed De-Fi, which is the decentralized finance protocol and automated market maker (AMM). It means it is a database that securely distributes these cryptocurrencies to exchange over the internet.
The founder is Chef Nomi, who is not known and can be an anonymous individual or a group of people.
One earns rewards from doing transactions over this platform. The UI of SushiSwap is very different from other cryptocurrency exchanges. It looks like a Japanese restaurant menu.
It is a community-driven platform that is used to swap, earn, stack yields, lend, and borrow digital assets.
The government token of the De-Fi is SUSHI. The development of the financial platform is in the hands of the SUSHI token holders. One can become a liquidity provider on this interference and gradually earn the fees with the swaps that they provide liquidity for.
Main Differences Between PancakeSwap and SushiSwap
- The governance token and the base asset of PancakeSwap is CAKE. While the basic asset and the native token of SushiSwap are SUSHI.
- The trading fees on SushiSwap are currently higher than the fees for trading on PancakeSwap. The trading fee on PancakeSwap is 0.2%, while a trader has to give 0.3% on making a trade on SushiSwap.
- PancakeSwap has the feature of NFTs on its platform. These are non-fungible tokens and can vary from being a precious metal, unique figures, or digital albums. The users can trade them for the governance token CAKE. SushiSwap doesn’t hold any feature of NFT on its platform.
- PancakeSwap has another token on its platform, which is SYRUP, aside from its main token, CAKE. The use for this York is stake any unstated CAKE. On the interference of SushiSwap, there is not any token to unstack the main token, SUSHI. One can unstack it by clicking on the unstack button.
- There is a feature of the PancakeSwap lottery on its platform. It makes the interference fun for the users. While SushiSwap does not offer this feature. But another fun thing that the developers have built on SushiSwap is the Japanese-themed restaurant visible on its interference.
- https://ideas.repec.org/p/arx/papers/2103.12732.html
- https://books.google.co.in/books?id=ieJfzgEACAAJ&dq=PancakeSwap&hl=en&sa=X&redir_esc=y
I’ve put so much effort writing this blog post to provide value to you. It’ll be very helpful for me, if you consider sharing it on social media or with your friends/family. SHARING IS ♥️
Piyush Yadav