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 fork for UniSwap, another popular De-Fi exchange. They are not only DeFi but are Automated market maker models as well.
With the blockchain now getting bigger and bigger and more advanced than ever before, techniques, even like trading, have become old. People now follow a little updated version of trading for investments, that is, “Swapping”. PancakeSwap and SushiSwap are both a type of cryptocurrency exchanges that are used for swapping these cryptocurrency assets between different types of blockchains.
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 there are certain differences between the two. 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, have the power of governance rights and to vote on proposals, which is a very important power.
Comparison Table Between PancakeSwap and SushiSwap
|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.|
What is PancakeSwap?
PancakeSwap is a decentralized exchange based on an AMM model. AMM translates into 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 their own governance token, that 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 themselves 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 a known person and can be an anonymous individual or a group of people.
One earns rewards from doing your 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 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 fees 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, any unique figure, or any digital album. 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, that is SYRUP, aside from its main token, CAKE. The use for this York is stake any unstaked CAKE. On the interference of SushiSwap, there is not any token to unstake the main token SUSHI. One can simply unstake it by clicking on the unstake 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.
Started with Ethereum, now platforms like PancakeSwap and SushiSwap have become quite innovative, and now, with all new features and other platforms in the market getting to the market every day, it can be said that the De-Fi trend is getting more and more complex every day.
Now, the decentralized finance has gained quite an attention from the people, and thus, more and more platforms are getting launched for investors and traders to use. The market is expanding quite fast. It is up to the user how and from which exchange system they want to make their asset exchange.