Our May 2024 report explores the CAKE token supply management world on PancakeSwap. Learn how PancakeSwap reduces the total supply of CAKE through strategic burns and the pursuit of ultrasound CAKE.

## **CAKE Total Supply Reduction:**
As of June 5th, 2024, PancakeSwap has successfully burned -0.059% of the CAKE total supply for May 2024. To calculate this percentage, we divided the total net mint of -228,551 CAKE by the initial total CAKE supply on May 6th 2024. This marks the ninth consecutive month of CAKE total supply reduction, with a cumulative -2,803,620 CAKE net mint over September, October, November, December 2023, January, February, March, April and May 2024. 

## **Achieving CAKE Total Supply Reduction through Net Minting:**
In May 2024, PancakeSwap achieved a net mint of -228,551. This negative net mint indicates that more CAKE tokens were burned than minted during the month.

## **May Mint Breakdown**
- Farms: 807,193
- CAKE Syrup Pool: 91,377
- Other Product Usage: 123,962
- Total May Mint: 1,022,532

_Please note that we have excluded CAKE mints that directly contribute to burning, calculating the mint based on raw CAKE/block emission (including emission changes over the months) for a precise monthly mint estimate._

## **May Burn Categories**
- Swaps and Perpetual Trading Fees: 911,139
- Prediction: 216,017
- Pancake Protectors: 482
- Lottery, NFT Market, Profile & Factory: 123,445
- Total May Burn:1,251,083

_Note: To ensure accuracy, we pro-rate weekly CAKE burns over two months. For example, burns occurring at the end of May and stretching into June receive a proportionate allocation between the two months._

## **Proof of Burn for May:**
- May 13: **[Link](https://bscscan.com/tx/0x2d8dbb0c44d2f15a07fb5728feee4d242d1d556890739da3e1e6f3664021a2eb)**
- May 20: **[Link](https://bscscan.com/tx/0xa8a22bb904312ee06858d1ed4c37edd705c0c0b8822b8a0fff855f303b7d0179)**
- May 27: **[Link](https://bscscan.com/tx/0x5b928181b37c1b879498f9ba49bbafc7d84a6c225d41d83d09e3c48381f6c90d)**
- June 3: **[Link](https://bscscan.com/tx/0x1246d4119e179641086b4324f171e0b789aaf3230d05522d87aa1848948e58bd)**

As of June 5th, 2024, PancakeSwap has successfully burned -0.059% of the CAKE total supply for May 2024. 

May 2024: PancakeSwap's CAKE Burn

### The Journey So Far:

- **April 8, 2025**: Shared a discussion proposal to gather community feedback.
- **April 15, 2025**: Official proposal published for voting.
- **April 18, 2025**: Proposal passed.
- **April 23, 2025**: Official implementation of CAKE Tokenomics 3.0 begins.

### Timeline and Phases of Implementation

### 1. Retirement of veCAKE & Gauges Voting

- Starting **April 23, 2025, at 00:00 AM UTC**, veCAKE and Gauges Voting will officially be retired.
- The final voting period will end at **00:00 AM UTC, April 23, 2025 (Epoch 37)**. After this, voting will no longer be available from **Epoch 38** onward.
- **Epoch 38 (April 25–May 6, 2025)** will apply the results and emissions based on Epoch 37’s voting outcomes.
- Gauges Voting rewards (including veCAKE Pool APR and Bribe APR) will continue to accrue until **00:00 AM UTC, May 7, 2025**, when Epoch 38 ends. After that, no new rewards will be generated.

### 2. Unlocking CAKE Staking

- Starting **April 23, 2025, at 08:00 AM UTC**, all CAKE and veCAKE staking will be unlocked. Users who have directly staked CAKE through the PancakeSwap interface will be able to redeem their veCAKE for CAKE on a 1:1 basis. (***Note**: veCAKE is calculated based on the staking duration, so users will be able to redeem the underlying amount of CAKE.)*
- If you wish to continue earning rewards (veCAKE Pool APR, Bribe APR, Revenue Sharing APR) from the **final Epoch 38**, **do not withdraw your CAKE before 00:00 AM UTC, May 7, 2025**.
- **Redemption Period:** Users who have directly staked CAKE through the PancakeSwap interface have **6 months** to redeem their staked CAKE and veCAKE, with the deadline being  **08:00 AM UTC, October 23, 2025.**
- For veCAKE linked to **veCAKE managers (e.g., Aster, StakeDAO, CakePie),** PancakeSwap will whitelist the delegator addresses for locker protocols that enable 1:1 redemptions. These protocols will launch a redemption page on their interfaces, allowing users who have staked with them to redeem their xCAKE for CAKE on a **1:1 basis. Please refer to Vecake Manager’s announcement for detailed time** .

### 3. Farm Boosting Discontinued

- Farm yield boosting will be gradually retired from position managers, syrup pools, and farming activities starting **April 24, 2025 and ending May 7, 2025**. Rewards from yield boosting will continue to accrue only until this date.

### 4. Revenue Sharing Discontinued

- The **5% revenue share** from trading fees in v3 pools (0.01% and 0.05%) will be discontinued. Funds that were previously allocated to revenue sharing will now be redirected to the **CAKE burn mechanism**, increasing the burn rate for these pools from **10% to 15%**.
- Revenue Sharing rewards will continue to accrue until **00:00 AM UTC, May 7, 2025**.
- To continue earning Revenue Sharing rewards from the final **Epoch 38**, **do not withdraw your CAKE before 00:00 AM UTC, May 7, 2025**.

### 5. CAKE Emission Reduction (Phases 1 & 2)

- **Phase 1 (Starting April 25, 2025):** Daily emissions will decrease from approximately 29,000 CAKE to 20,000 CAKE. The Ecosystem Growth Fund allocation will be cut by 50% (from ~6,500 CAKE per day to ~3,250 CAKE per day) and redirected to the burn mechanism.
- **Phase 2 (within 4 weeks of Phase 1):** Daily emissions will further reduce to 14,500 CAKE, resulting in the permanent burn of 5.3 million CAKE per year, effectively removing this CAKE from circulation.

### 6. CAKE Pool Delegation and Dune Burn Dashboard Update

When we launched the veCAKE system, many users still had their CAKE tokens locked in the **CAKE Pool 0x45c54210128a065de780C4B0Df3d16664f7f859e**. To facilitate a seamless staking process, we introduced the delegation feature, allowing users to participate in the veCAKE system and its subDAO ecosystem by delegating their locked CAKE, without needing to move the tokens out of the CAKE Pool.

As of now, approximately **5.29 million CAKE** has been delegated from the CAKE Pool: **1.17 million to StakeDAO** and **4.12 million to CakePie**. The **5.29 million CAKE** delegated from the CAKE Pool is now **permanently** locked in the original CAKE pool (burned and irrecoverable by any party). However, it will need to be returned to those protocols for full redemption.

During the upcoming **Monday Burn** on **April 21st**, a portion of the burn (**5.29 million CAKE**) will be injected into these lockers. This adjustment will not affect CAKE’s total supply, and PancakeSwap will update the **Dune Burn dashboard** to reflect this change.

### In Summary, what Actions Do You Need to Take?

1\. **Claim Rewards**: To earn rewards from the final **Epoch 38** (April 25–May 7, 2025), make sure **not to withdraw your CAKE before 00:00 AM UTC, May 7, 2025**.

2\. **Redeem CAKE/veCAKE:** Users who have directly staked CAKE through the PancakeSwap interface have 6 months to redeem their staked CAKE and veCAKE, with the redemption **deadline set for October 23, 2025.**
    
For veCAKE linked to **veCAKE managers (e.g., Aster, StakeDAO, CakePie),** PancakeSwap will whitelist the delegator addresses for locker protocols that enable 1:1 redemptions. These protocols will launch a redemption page on their interfaces, allowing users who have staked with them to redeem their xCAKE for CAKE on a **1:1 basis. Please refer to Vecake Manager’s announcement for detailed time** .

Implementation of CAKE Tokenomics 3.0: What You Need to Know

### **PancakeSwap March Data**

- Total Value Locked (TVL): $1.78B
- Total Volume: $45.13B
- Average Daily Volume: $1.46B
- Unique Traders: 2.66M
- Unique Onsite Users: 2.35M


### **CAKE Token**

- Total Burned: 43.4 M CAKE 
- Monthly Net Mint: -2,714,238 CAKE
- % of Total Supply Burned: -0.72%
- Number of Holders: 1,829,486 (MoM +0.34%)

_As our emissions and burn data are calculated and grouped by weeks, not months, the statistics above may not one-to-one reflect our “monthly burn”, and only serves as a guideline. For more information on our burns, please refer to our weekly burn post on our social channels._

### Served In March

#### **Monthly Burn Report**

![burn.jpg](https://sgp1.digitaloceanspaces.com/strapi.space/4606263aa8ae35bc2829c697df412177.jpg)

In March, PancakeSwap remained steadfast in its commitment to Ultrasound CAKE, successfully reducing the total supply of CAKE for the 19th consecutive month.
This milestone brings the cumulative net reduction to -14,634,766 CAKE since the start of our journey.

There was some helpful feedback and a few questions from the community earlier in the month regarding the reported numbers. To address this transparently, **[we hosted an AMA](https://www.youtube.com/watch?v=_wv8ZZj_Uw0&t=2s)** to walk through the details and share more context.

#### **Key CAKE Stats for March 2025:**

- 👨‍🌾Minted:  1,195,027
- 🔥Burned: 3,909,265
- 📉Net Mint: -2,714,238
-🔻% of total supply burned: -0.720%


This ongoing reduction reinforces PancakeSwap’s commitment to sustainable tokenomics, ensuring a strong and healthy ecosystem for CAKE. Stay tuned as we continue paving the way toward Ultrasound CAKE! 🥞

_Please note that we have excluded CAKE mints that directly contribute to burning, calculating the mint based on raw CAKE/block emission (including emission changes over the months) for a precise monthly mint estimate._

#### **Pancake Picks: Discover what’s trending**

In March, we launched **[Pancake Picks](https://docs.pancakeswap.finance/products/pancake-picks)**, a new spotlight section on our Liquidity Pools page highlighting the top 3 trending tokens on PancakeSwap.

Updated every weekday, this feature helps users stay on top of the most popular and active pools. Simple, eye-catching, and powerful.

#### **Trading Competitions: $125,000 Up for Grabs**

March was all about trading action on PancakeSwap! We kicked off two trading competitions in collaboration with **[EOS Network](https://blog.pancakeswap.finance/articles/pancake-swap-x-eos-network-trading-competition-75-000-in-rewards) (now Vaulta)** and **[MERL](https://blog.pancakeswap.finance/articles/pancake-swap-x-merl-trading-competition-50-000-in-rewards)** (Merlin Chain), offering a combined prize pool of $125,000.

#### **MEV Guard Now Supports More Wallets**

Our commitment to a safer trading experience continues. In March, **[PancakeSwap MEV Guard](https://blog.pancakeswap.finance/articles/introducing-pancake-swap-mev-guard-on-bnb-chain-better-rates-and-safer-swaps-with-one-click)** expanded its support to include Binance Wallet, Trust Wallet, and Rabby Wallet on BNB Chain — joining MetaMask in the list of supported wallets.

This feature helps protect users from frontrunning and sandwich attacks, providing one-click MEV protection on web and mobile. Whether you're a DeFi native or just starting out, MEV Guard helps your swaps stay secure and smooth across a broader range of wallets.

#### **PancakeSwap supported four TGE events hosted by Binance Wallet.**

In March, PancakeSwap took part in four Token Generation Events (TGEs) for DeFi projects, all hosted by Binance Wallet.

Want to join the next one? Stay tuned!

#### **Meetups: Want more? Drop your city now! 🌍**

In March, our meetups across the **[Philippines](https://www.youtube.com/watch?v=8qPcYGsdcG8)** and Turkey attracted a combined total of over **120+ participants**. These events underscored the strong global engagement of the PancakeSwap community, as members from different regions came together to connect, learn, and celebrate the DeFi movement—all while sharing their passion for innovation.

Thanks for reading! Don’t forget to follow us on **[Twitter](https://x.com/PancakeSwap)** ,join us on **[Telegram](https://t.me/PancakeSwap)** and **[Discord](https://discord.com/invite/pancakeswap)**

*The Chefs* 🥞

PancakeSwap March Recap

GM PancakeSwap Community and CAKE Holders,

On April 8th, 2025, we published a [**discussion proposal for CAKE 3.0 Tokenomics**](https://forum.pancakeswap.finance/t/cake-tokenomics-proposal-3-0-true-ownership-simplified-governance-and-sustainable-growth/1237) inviting our community to share their feedback about the proposal. We value your input and are committed to keeping an open, transparent dialogue with our community. Let's dive into some of the most common questions raised, along with the responses from the Chefs.

**1\. Is the deflation capped at 4% per year under this proposal?**

No, the 4% is a target based on data from the past two years. Burns are tied to a percentage of volumes, as outlined in the tokenomics graphic. If PancakeSwap performs well and volumes are high, more CAKE will be burned. While it’s true that the CAKE burn is influenced by CAKE’s price, an increase in price also means liquidity providers earn more from rewards. Emissions can then be adjusted to more sustainable levels, with any excess burned to balance this dynamic.

**2\. If mCAKE and sdCAKE become depegged, will they still be redeemable 1:1? If the proposal passes, can you clarify the redemption process?**

Yes, delegator addresses will be whitelisted from PancakeSwap, and participants in veCAKE Managers (such as Magpie, StakeDAO, and Aster) will have the ability to process redemptions from their respective platforms. The redemption ratio will remain 1:1 based on the smart contract, with all veCAKE Manager creations on PancakeSwap. 

**3\. Why not make mCAKE, sdCAKE, and other wrapped Cake assets redeemable directly for CAKE by blacklisting the original veCAKE protocol addresses?**

When users lock their CAKE via a veCAKE Manager, only the delegator can unlock and withdraw the CAKE and redistribute it back to the users. We cannot act on behalf of the delegators at the contract level, just as we cannot unlock CAKE for any other users. Therefore, users can only redeem their CAKE directly from the veCAKE Manager.

**4\. What incentives will exist for holding CAKE without revenue sharing, CAKE emission, or a gauge mechanism in place?**

CAKE’s value will be driven by real utility and scarcity. As part of this proposal, the 5% of LP fees previously allocated to revenue sharing from the v3 0.01% and 0.05% fee tiers will now be redirected to the buy-and-burn mechanism, increasing the burn rate for these pools from 10% to 15%. Since these pools represent a significant portion of PancakeSwap’s overall trading volume, this change is expected to accelerate CAKE deflation. It aligns with our long-term vision of simplifying the model while enhancing burn efficiency. 

PancakeSwap already allocates a majority of its protocol fees to buy-and-burn, and CAKE will continue to have utility through governance, TGEs and IFOs as outlined in the proposal. 

Most importantly, there will be a clear and direct link between the protocol’s revenue and the CAKE holders’ benefit from the burn mechanism. This proposal seeks to maintain a strong deflationary trend by carefully balancing emissions (spending) with revenue (fees allocated to the burn).

**5\. We’ve heard some of the community would like to continue veCAKE with higher efficiency for emissions. Will this work in practice?**

The proposed recommendations include: placing emissions caps on low-revenue generating pairs, linking fee generation to the emissions a pool receives, and raising the cost of bribes to create competition with pools that generate higher organic fees. While these are reasonable short-term solutions, they don’t address the core issue—they merely delay the problem.

Based on the data, pools that currently receive bribes would need to reduce emissions by at least 80%. These pools generate relatively low volumes and are essentially subsidized by more profitable pools. By reducing emissions and reallocating most of these emissions to the more profitable pools, the revenue flowing to CAKE lockers will decrease substantially. This will make bribes less attractive and leave users with no option but to accept lower returns on their locked CAKE.

This proposal seeks to provide users with the option to redeem their CAKE, rather than face a significant reduction in voting APR over multiple epochs or be penalized for redeeming early.

**6\. Given that half of the user base faces many geo-restrictions from participating in the TGE, how can PancakeSwap claim to be truly decentralized when such a significant portion of the user base cannot engage in key activities?**

The TGE is a partnership between PancakeSwap and Binance Wallet, and as such, PancakeSwap must adhere to Binance Wallet’s compliance requirements. However, PancakeSwap IFOs are open to PancakeSwap users, and the new simplified model will increase accessibility for CAKE holders. This will make the IFO process more attractive to projects, allowing them to reach a broader user base.

**7\. How will emissions previously governed by the veCAKE system be managed in the new proposal? What will guide the decisions for reallocating rewards from existing pairs to new ones? What metrics will be used to evaluate these changes, and what’s the expected timeline for reallocating rewards? How will these changes be communicated to the community?**

As we’ve used for the past 20 months, the guiding metric for allocating emissions is "Revenue per CAKE Spent." This ensures that for every emission, the protocol benefits by burning an equal or greater amount of CAKE. While most emissions will continue to maintain core pairs that support CAKE deflation (e.g., BNB-USDT), a portion will be allocated to expanding PancakeSwap's market share on new chains. In initial deployments (e.g., Base), more profitable chains like BNB Chain will subsidize the CAKE spend. Over time, we will optimize emissions based on volumes, making new chains profitable for PancakeSwap. A real-time burn and emissions dashboard will be launched for the community to track emissions allocations. As always, on-chain data will be available for anyone to view the CAKE allocated across different farms.

**8\. How will decentralization work in PancakeSwap with the proposed changes to staking and veCAKE? Will the lack of staking lead to manipulation by whales in governance proposals?**

If the proposed changes are implemented, voting will shift to a direct model, where voting power is determined by the amount of CAKE held by each wallet address. When a proposal is made, a snapshot of CAKE holdings will be taken, and this snapshot will directly correlate with the voting power each user holds, ensuring that voting reflects the amount of CAKE in each wallet. This approach keeps CAKE liquid during the proposal process while still linking voting power to individual holdings. Many other protocols have successfully operated governance without requiring staking, and the possibility of incorporating delegation features will be explored in the near future.

**9\. Will the veCAKE model remain active until the end of this voting cycle? If so, how will the disproportionate voting power of those who locked a large amount of CAKE recently affect the fairness of decision-making?**

Yes, the veCAKE model will remain active until this proposal is either approved or rejected. If the proposal passes, there will be a final epoch where votes and bribes will continue to be recognized. After this final epoch, emissions reductions will begin, and emissions will be gradually redirected to the pools that generate the highest revenue and burn rates, while still maintaining attractive returns for liquidity providers. Throughout the decision-making process, veCAKE holders can continue to vote for specific gauges on the gauge voting page until the voting period for the proposal is completed.

On April 8th, 2025, we published a discussion proposal for CAKE 3.0 Tokenomics

Forum Feedback: CAKE Tokenomics 3.0 Discussion Proposal 

PancakeSwap’s CAKE burn system is designed to help manage the total supply of CAKE by periodically burning (removing) a portion of the minted tokens. The goal is to burn more CAKE than minted, decreasing the token supply. This deflationary approach helps maintain a balanced supply, supporting the token’s long-term health and growth.

We understand that some users have questions about the recent changes to the burn format and how CAKE is managed. Let’s dive into these questions and give you a clearer picture of the key points so you can better understand how the CAKE burn system works and our updates.

## 1. How Does the New Burn Format (Introduced on March 24th, 2025) Work?

We switched to a **[simpler format](https://x.com/PancakeSwap/status/1904196792864125387)** to make it easier to understand the impact of burns on CAKE’s deflationary status. Previously, we reported large amounts of CAKE being burned each week (often over 9M CAKE), but this number only showed the total CAKE burned without factoring in the CAKE that was minted in the same week. As a result, it didn’t fully capture how much CAKE was actually being removed from circulation.

Now, we focus on Net Deflation as the key metric for CAKE’s tokenomics. This method provides a more accurate picture of how much CAKE is actually being reduced from the supply.

**Here’s how we calculate it:**

**Net CAKE Deflation =**
    CAKE Minted (Emitted) to products (like V2 pools, V3 pools, and Lottery)
    **Minus**
    CAKE Burned from products (like V2 pools, V3 pools, Lottery, Prediction, IFOs, and Perpetuals)
    
For example, our recent **[burn update](https://x.com/PancakeSwap/status/1904196792864125387)** reported a net deflation of -339k CAKE, effectively reducing CAKE’s current total supply by 339k, or -0.12%.

**Note:**

- The Ecosystem Growth Fund is excluded from this calculation until its tokens enter the market. Further details on this can be found in point (3) below.
- Products that generate fees and are processed monthly rather than weekly (e.g., Base pools, Ethereum pools, and IFO-related burns) will cause a sharp increase near the beginning or end of a month as these burns are accounted for

## 2. Burn Numbers from Week to Week

It’s not uncommon to see some variations between the burn numbers we reported and what is shown on platforms like **[Dune](https://dune.com/pancakeswap/PancakeSwap-CAKE-Tokenomics)**. This can happen because the amount of CAKE minted each week depends on when the trigger transactions are executed.

For example, CAKE burns take place regularly on Mondays, but since CAKE is minted at a rate of 40 CAKE per block, the amount of CAKE accumulated and sent for minting and burning can vary slightly depending on when the transaction is triggered.

If you look at the **[Dune Tokenomics chart](https://dune.com/pancakeswap/PancakeSwap-CAKE-Tokenomics),** you may notice an unusually large net_mint of -3.8M CAKE for the week of March 10th. While this figure is accurate on-chain, about 3M CAKE will be offset when the accumulated CAKE is minted to the **[Ecosystem Growth Fund](https://bscscan.com/address/0x91b3927f100Bb6c19E5434bFaBa07D60670b98D6)** during the next burn. As a result, the true net burn for the week of March 10th was around 800K CAKE.

To clarify, when the next burn occurs on Monday, March 31st, the total and circulating supply numbers on Dune will show an increase. However, this doesn’t represent an “additional mint.” **The only aspect the team can control is the burn — the minting process is governed by the blockchain and the timing of the transactions.**

![Screenshot 2025-03-26 at 18.34.52.png](https://sgp1.digitaloceanspaces.com/strapi.space/2a4608e4441cbef31b4109b7f2fdf026.png)

_[**PancakeSwap Tokenomics on Dune**](https://dune.com/pancakeswap/PancakeSwap-CAKE-Tokenomics)_

### 3. Ecosystem Growth Fund

The Ecosystem Growth Fund is not included in the net deflation calculation until its tokens are actually released into the market. This approach helps focus on the tokens that are actively being minted or burned in circulation, giving a clearer picture of CAKE’s real deflationary impact. Including tokens that haven’t entered the market yet could lead to confusion about how much CAKE is actually being reduced from supply.

Currently, the **[Ecosystem Growth Fund](https://bscscan.com/address/0x91b3927f100Bb6c19E5434bFaBa07D60670b98D6)** holds 830,625 CAKE, with a total of about 3.8M CAKE accumulated, 3M of which is stored in the MasterChef contract. The primary purpose of this fund is to support farm emissions, but most of this CAKE hasn’t been used yet. **Since 2024, less than 1% of the accumulated CAKE has been put to use, while 99% remains idle and hasn’t entered the market.** Including the full 3.8M CAKE in the calculation would overstate the amount of CAKE actually circulating.
![2.png](https://sgp1.digitaloceanspaces.com/strapi.space/5a54b44bd9c25228aaa4428fa653217c.png)

_**[Ecosystem Growth Fund Address](https://bscscan.com/address/0x91b3927f100Bb6c19E5434bFaBa07D60670b98D6)**_

**Example of Ecosystem Growth Fund Usage in the past year:**

- **Base Launch (Sep 2023)**: Redirected 0.015 CAKE per block from Ecosystem Growth to Base farms.
- **CB1 Airdrop**: Ongoing at $8,453 every two weeks. Transaction links: **[BSCScan](https://bscscan.com/tx/0x59e542febe942a979238b0de50f4d119fa93a856f4ee4d82fbfcc3359dd24933)**, **[Arbiscan](https://arbiscan.io/tx/0x0a91c6075a2cfd7cb5878272e07364bf518185d4c1372302d1b2bb8209c7e182)**, **[Basescan](https://basescan.org/tx/0x069c0fb5a6c098bd90f693b2ac040950024bcdcf3b0dcd81847be4039c7a9b26)**
- **Voting Proposal (Sep 2023)**: Redirect 0.4 CAKE per block from Ecosystem Growth to Burn, Burn the entire 3M that accumulated until this date. **[Proposal details](https://pancakeswap.finance/voting/proposal/0x45121903be7c520701d8d5536d2de29577367f2c84f39602026dc09ef1da8346)**
- **Locker Protocol Bribes**: 500 CAKE per day since April 23, 2024. **[Proposal link](https://pancakeswap.finance/voting/proposal/0x41feef37054b6c090a2629d6eb2ed39f426f169b725cb565903e6b3ba1771bcc)**
- **PancakeSwap Infinity**: Preparation for emissions (~1,200 CAKE per day).

As the fund’s CAKE may be used or burned in the future, excluding it from the current calculation reflects what is actively impacting the circulating supply. When these tokens actually enter the market, they will be considered in the supply, and their use will continue to align with the deflationary goal.

### **Future Improvements in Burn Reporting and Transparency**

To enhance transparency and provide users with a clearer view of the burn process, PancakeSwap will be taking the following steps:

- **Open-source Burn Dashboard**: We will be developing a dashboard where users can track all emissions and burns, along with their corresponding on-chain transaction hashes. This will allow users to verify the data easily and better understand the changes to CAKE's supply.
- **Simplified CAKE Tokenomics Documentation**: We will be revising the CAKE tokenomics documentation to provide clearer explanations and make it more user-friendly. The updated documentation will also include a list of all addresses involved in emitting or burning CAKE, offering users a transparent and accessible way to follow the process.

We hope this clarifies the CAKE burn system and answers your questions! As always, PancakeSwap is committed to improving transparency and making the process easier to understand. Stay tuned for more updates, and feel free to share any suggestions or concerns you may have.

The Chef’s

# **Appendix**

**A Step-by-Step Breakdown of How CAKE Minting and Burning Works**

To give you a clearer understanding of the entire process, here’s a simple breakdown of how CAKE is minted and burned:

**Minting**:

CAKE tokens are created through the **MasterChef contract**. Every block on the BNB Chain, **40 CAKE tokens** are minted. With **28,800 blocks per day**, CAKE is continuously minted throughout the day, but it doesn't happen all at once. Instead, the minted CAKE accumulates and is sent to the burn wallet when triggered.

**Burning**:

Every **Monday**, a portion of the minted CAKE is burned (permanently removed from circulation). Most of the tokens are burned directly, but a small portion is allocated toward rewards and ecosystem growth. The CAKE fees generated by PancakeSwap products (like farms, Lottery, etc.) are sent to a **[multisig wallet](https://bscscan.com/address/0xceba60280fb0ecd9a5a26a1552b90944770a4a0e)**, then transferred to a "burn address," which is permanently inaccessible, ensuring that the tokens are gone for good.

Here’s a snapshot of how this works:

**Example: Mint and Burn Transactions**

**[Mint Transaction](https://bscscan.com/tx/0xaadb2bd553d2d939b7a334ba8b61534a9f9b31ee9bf252310dbbfc0b56a92cd1) (March 21, 2025)**  - Automated via Chainlink Job to Fund MCV3:

![Screenshot 2025-03-26 at 18.43.13.png](https://sgp1.digitaloceanspaces.com/strapi.space/c78bbec7c2706076f2986478d765edf0.png)

- **Burn Address (4a0e)**: 838,904 CAKE (dev mint, all burned, not transferred anywhere else)
- **Main Staking Contract V2**: 8,379,697 CAKE (40 CAKE per block, majority burned)
- The gap between the mint (8,379,697 CAKE) and the transfer from the MasterChef v2 contract (7,751,273 CAKE) represents the remaining balance in the **[MasterChef v2 contract](https://bscscan.com/address/0xa5f8c5dbd5f286960b9d90548680ae5ebff07652)** (currently 533,278 CAKE), which is used for emissions (like Farms or Lottery rewards).

**[Burn Transaction](https://bscscan.com/tx/0xc676173e2a416fc9107c9b6e72127da215dbae1c9e25818e79e99decf56957d2) (March 24, 2025):**

![Screenshot 2025-03-26 at 18.43.18.png](https://sgp1.digitaloceanspaces.com/strapi.space/2011cc6dc027003dbf2f4c60ad5e3044.png)

- Most of the 40 CAKE minted per block (38.637 CAKE) is burned directly.
- 1.363 CAKE is allocated to V2 and V3 farm emissions, Lottery rewards, and the Ecosystem Growth Fund.
- Finally, all the accumulated burn fees are transferred from the burn multisig (4a0e) to the Burn Address, which is permanently inaccessible.

This process helps reduce the total supply of CAKE over time, supporting its deflationary mechanics.

Let’s dive into how the CAKE burn system works and our updates

PancakeSwap CAKE Burn Mechanics: A Comprehensive Guide

If you’re passionate about DeFi and believe you have what it takes to educate and inspire others, this is your chance! We’re expanding our Ambassador Program to key regions, and we need local leaders to host meetups, workshops, and events to bring the PancakeSwap experience to the masses. Help us strengthen local communities and take DeFi education to the next level—one event, one connection at a time.

## Where We Need Ambassadors & What You’ll Do

We’re looking for passionate Ambassadors in key regions to help bring the PancakeSwap experience to life and drive DeFi education on a local level. If you’re based in one of these regions and ready to take on the challenge, we want to hear from you:

- **Japan** 
- **India** - Found! 
- **South Korea** - Found!
- **Dubai** - Found!
- **Thailand** 
- **Taiwan** 
- **Indonesia** - Found! 

### **Ambassador Responsibilities**

As a PancakeSwap Ambassador, you’ll be crucial in spreading the PancakeSwap vision, building strong communities, and hosting educational events. Your core responsibilities will include:

- **Hosting Local Events (Mandatory):** Organize and lead meetups, workshops, and other community events. You'll share your DeFi expertise, engage with attendees, and represent PancakeSwap in your region. Events should be held in your region's **native** **language**.
- **Optional Activities:**
    - **Content Creation:** Create educational articles, videos, or social media posts to raise awareness and share knowledge about PancakeSwap.
    - **Community Moderation:** Assist in moderating PancakeSwap’s community channels to help foster a positive and engaging environment.

If you’re ready to lead in your community and drive the next wave of DeFi adoption, this is your chance to shine!

## Benefits of Becoming a PancakeSwap Ambassador

**Global Recognition:** Represent one of the most innovative DeFi platforms and gain exposure within the global crypto and DeFi communities.
    
**Collaborate with the Core Team:** You can work directly with PancakeSwap’s team on exciting projects, beta testing, and brainstorming sessions and receive exclusive updates.
    
**Reward System:** Earn financial compensation, exclusive PancakeSwap merch, and other exciting rewards for your contributions and performance.
    
**Dynamic and Fun Environment:** Join a fast-paced, ever-evolving ecosystem offering new challenges and growth opportunities daily.
    

## Requirements to Apply

We’re looking for Ambassadors who:

- Are fluent in **English** and the **native language** of the region you're applying to, with **business-level proficiency** in written and spoken communication.
- Have a strong understanding of PancakeSwap, DeFi, and community-building.
- Are proactive, reliable, and passionate about organizing events.
- Have excellent communication and leadership skills to engage, inspire, and grow local communities.

## How to Apply & Selection Timeline

Ready to become a PancakeSwap Ambassador? Follow these steps to apply:

1. **Complete the Application Form:**  https://forms.gle/aqK61GiL1QjU7Tqb8
2. **Prepare for an Interview**: If shortlisted, we'll schedule a video interview to assess your communication skills and knowledge of PancakeSwap.
3. **Get Onboarded:** If selected, you'll receive onboarding materials and support to help you plan your first local event.

### Selection Process & Timeline:

1. Application Period: Jan 24th to Feb 2nd
2. Interview Phase: Feb 3rd to Feb 14th
3. Onboarding Phase: Feb 17th to Feb 20th
4. Ambassador Announcement: March 3rd 2025. 

## Frequently Asked Questions (FAQs)

- **Who can apply to be a PancakeSwap Ambassador?**
Anyone who meets the requirements outlined in the document, including native in both English and the local language of the region they’re applying to, has business-level fluency in written and spoken communication, a strong understanding of PancakeSwap, and a genuine enthusiasm for community building.
    
- **Do I need prior experience in event planning or community management?**
While prior experience is a plus, it’s not required. We’ll provide all the guidance and support you need to succeed.
    
- **What is the time commitment for an Ambassador?**
Time commitment will vary depending on your activities, but hosting events and engaging with your community will require an ongoing effort.
    
-  **Will I receive resources to support my events?**
Absolutely! Our community team will provide you with onboarding materials, event planning support, and ongoing guidance.
    
- **What rewards can I expect?**
Rewards include financial compensation for completed tasks, exclusive PancakeSwap merchandise, and global recognition within the DeFi community.
    
-  **Can I apply if I’m not from one of the listed countries?**
Currently, we are focusing on these regions, but stay tuned for future opportunities!
    
- **How will interviews be conducted?**
Interviews will be held online via video call, so make sure you’re ready to communicate effectively with an open camera.
    
-  **What happens if I’m selected?**
You’ll be onboarded into the PancakeSwap Ambassador Program, where you’ll get the support you need to host your first event and represent PancakeSwap in your community.

Interested in becoming a PancakeSwap ambassador? 

Take DeFi Global: Become a PancakeSwap Ambassador

Our July 2024 report explores the CAKE token supply management world on PancakeSwap. Learn how PancakeSwap reduces the total supply of CAKE through strategic burns and the pursuit of ultrasound CAKE.

## **CAKE Total Supply Reduction:**
As of  7th August, 2024, PancakeSwap has successfully burned -0.093% of the CAKE total supply for July 2024. To calculate this percentage, we divided the total net mint of -357,707 CAKE by the initial total CAKE supply on July 1 2024. This marks the eleventh consecutive month of CAKE total supply reduction, with a cumulative -3,549,758 CAKE net mint over September, October, November, December 2023, January, February, March, April, May, June, July 2024. 

## **Achieving CAKE Total Supply Reduction through Net Minting:**
In July 2024, PancakeSwap achieved a net mint of -357,707 Cake This negative net mint indicates that more CAKE tokens were burned than minted during the month.

## **July Mint Breakdown**
- Farms: 829,035
- CAKE Syrup Pool: 72,882
- Other Product Usage: 123,957
- **Total July Mint:** 1,025,874

_Please note that we have excluded CAKE mints that directly contribute to burning, calculating the mint based on raw CAKE/block emission (including emission changes over the months) for a precise monthly mint estimate._

## **July Burn Categories**
- Swaps and Perpetual Trading Fees: 957,831
- Prediction: 301,431
- Pancake Protectors: 3,216
- Lottery, NFT Market, Profile & Factory: 121,104
- **Total July Burn: 1,383,581**

Note: To ensure accuracy, we pro-rate weekly CAKE burns over two months. For example, burns occurring at the end of July and stretching into August receive a proportionate allocation between the two months.


## **Proof of Burn for July:**

- July 1: **[Link](https://bscscan.com/tx/0xdd42b54df0d0271df65f6223a3c1fb75ad9e5069d82a0de3f2a5de38c6edd132)**
- July 8: **[Link](https://bscscan.com/tx/0xadc429ed54bf7cc74247447c524e8cb7747e75779b00a68729341b4eddc3fefb)**
- July 15: **[Link](https://bscscan.com/tx/0xb6f517aa393943c6be79991f59607f39194de2952e849dbdc1972f7488bb46b4)**
- July 22: **[Link](https://bscscan.com/tx/0x8f6053f757796ce2e685fd6e3016908f0727e03969ebee40633fd443c8ba398d)**
- July 29: **[Link](https://bscscan.com/tx/0xe600a35644283facb547554e9c9c9cf4a7a202907d70020eb217c15999a2a245)**
- August 5: **[Link](https://bscscan.com/tx/0x65406df1fceb5e191cf549a2d06316c352fbbf6466619f60d858aec42fc84cf7)**

Our July 2024 report explores the CAKE token supply management world on PancakeSwap. 

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