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PancakeSwap

PancakeSwap DEX Review

4.2Last updated: August 5, 2026·Author: CryptoRanking Editorial Team
Go to PancakeSwap
Type
AMM
Networks
8
TVL
$1,690M
Token
CAKE

Score breakdown

Computed directly from the data above — see the exact formula in our methodology.

Fees4.0/5

Representative fee: 0.2% (lower fee = higher score, scaled against 1%).

Security5.0/5

Contracts have undergone an independent security audit.

Liquidity (TVL)2.8/5

TVL approx. $1.69B (as of August 2026, DefiLlama), scaled against $3B.

Network reach4.0/5

Available on 8 blockchain networks (scaled against 10).

About PancakeSwap

PancakeSwap is a decentralized AMM exchange launched in 2020 by an anonymous team of developers. The domain was registered in Shanghai, and some media reports have suggested the founders were previously linked to Binance as an extension of its ecosystem — the team has never formally confirmed this. Regardless of its origins, it has operated continuously since launch and grown into the largest AMM on BNB Chain.

How trading works

The mechanics are analogous to Uniswap — you trade against a pool, and the price shifts automatically based on the ratio of the two tokens. The v3 version, with concentrated liquidity, lets LPs narrow their price range, similar to Uniswap v3.

Supported networks

PancakeSwap is mainly associated with BNB Chain (where most of its liquidity sits), but it also runs on Ethereum, Arbitrum, Base, Linea, zkSync Era, Polygon zkEVM, and other smaller networks. Gas on BNB Chain is typically much lower than on Ethereum mainnet — the main reason for its popularity.

Fees and the CAKE token

The standard fee in v2 pools is 0.2% — 0.17% goes to LPs, 0.03% to the PancakeSwap treasury, partly used to buy back and burn CAKE. CAKE is used for governance voting and as an incentive in farms and staking — in June 2025, PancakeSwap announced a partnership with World Liberty Financial to promote the USD1 stablecoin.

Security

The contracts have undergone independent audits, and the platform has operated continuously since 2020, processing billions of dollars in volume without a serious hack at the protocol's core level. The team's anonymity remains a heightened reputational risk factor for some users and analysts compared with projects with fully known founders, like Uniswap.

Who it's for

A good fit for anyone active in the BNB Chain ecosystem who wants lower gas fees than Ethereum and additional products (staking, farms, lotteries) in a single app. Less suitable for those who prioritize full team transparency or the simplest, most minimal interface.

PancakeSwap Details

  • Type: AMM (automated market maker)
  • Chains: BNB Chain, Ethereum, Arbitrum, Base, Linea, zkSync Era, Polygon zkEVM, Monad
  • Typical fee: 0.2%
  • Governance token: CAKE
  • TVL: ~$1.69B (August 2026)
  • Audits: Yes
  • Official site: https://pancakeswap.finance

Pros

  • Among the lowest gas fees of any popular DEX, thanks to its dominant presence on BNB Chain
  • Very broad product range beyond simple swaps — CAKE staking, farms, lotteries, IFOs, and price prediction in one app
  • Second-largest liquidity among AMMs, with real competition for Uniswap across multiple networks

Cons

  • The team remains anonymous, and the domain was registered in China — some users treat this as an added reputational risk factor despite a long, stable operating history
  • The large number of products (lotteries, NFTs, price prediction) can overwhelm someone who just wants a simple token swap

Technical details

A DEX is a protocol, not a company holding an account — you connect your own wallet, and funds never come under PancakeSwap's control.

Type
Automated market maker (AMM)
Supported networks
BNB Chain, Ethereum, Arbitrum, Base, Linea, zkSync Era, Polygon zkEVM, Monad
Compatible wallets
MetaMask, WalletConnect, Coinbase Wallet, Rainbow
Governance token
Yes — CAKE
Fee model
The standard swap fee is 0.2% of the trade value — 0.17% goes to liquidity providers as a reward, 0.03% to the PancakeSwap treasury. v3-based pools may have different rates, configurable similarly to Uniswap v3.

Frequently asked questions

Do I need to sign up or complete KYC to use PancakeSwap?

No — PancakeSwap is a decentralized protocol, not a company running customer accounts. You connect your own wallet (MetaMask or Phantom, depending on the network), and funds stay under your control at all times, not PancakeSwap's.

Is PancakeSwap regulated?

PancakeSwap is an open-source protocol, not a licensed financial institution. Regulation of fully decentralized, non-custodial protocols without an intermediary is genuinely unsettled and varies by jurisdiction — check the rules that apply where you live rather than treating this as legal advice.

Is PancakeSwap safe?

Yes, PancakeSwap's contracts have undergone an independent security audit — see the review above for details.

What fees does PancakeSwap charge?

The standard swap fee is 0.2% of the trade value — 0.17% goes to liquidity providers as a reward, 0.03% to the PancakeSwap treasury. v3-based pools may have different rates, configurable similarly to Uniswap v3.

Go to PancakeSwap