PancakeSwap Infinity has launched the CAKE Emission Program to support Hook developers in building liquidity on PancakeSwap. Developers can deploy Hooks and receive ecosystem support to help grow their pools. Liquidity providers (LPs) who add liquidity to selected Hook-enabled pools will earn CAKE rewards automatically without any extra steps.

What is the CAKE Emission Program?

The CAKE Emission Program is designed to incentivize liquidity providers (LPs) by rewarding them with CAKE tokens. This initiative is part of PancakeSwap Infinity's commitment to supporting Hooks—customizable add-ons for liquidity pools that enhance the trading experience. Hooks provide various benefits, such as trading fee discounts, dynamic fees, advanced liquidity controls, and more. However, for Hooks to be effective, they need liquidity, which is where the CAKE Emission Program plays a crucial role.

PancakeSwap will allocate up to 0.05 CAKE per block (or 1440 CAKE per day) from the Ecosystem Growth fund—previously known as the Multichain Warchest—to support this program without requiring additional CAKE emissions. Any unused funds will remain within the Ecosystem Growth allocation.

The amount of CAKE rewards each selected Hook-enabled pool will receive will largely correspond to the amount of protocol fees generated by the pool. In general, the more protocol fees they generate, the higher the CAKE emission they will receive. The PancakeSwap Kitchen will adjust incentives as necessary to ensure sustainable growth.

Why the CAKE Emission Program Matters

The program aims to address some Hook developers' challenges in attracting liquidity, even when creating impactful solutions.

Its Goals Include:

• Help Developers Attract Liquidity: Hook-enabled pools need liquidity to function effectively. This program gives developers the support they need to bootstrap liquidity.
• Encourage High-Value Hooks: The program encourages the creation of Hooks that generate high trading volumes and revenue.
• Boost CAKE Burn: As more trading happens in these pools, more CAKE will be burned, helping reduce the CAKE supply.

How the Program Benefits Everyone:

• For Liquidity Providers: You can earn CAKE rewards by providing liquidity to Hook-enabled pools. These pools may also have lower impermanent loss and potentially higher fee returns. Please note, If you add liquidity to any Infinity pools, it will automatically qualify for the farm, and you will start receiving CAKE emissions for your liquidity position.
• For Developers: By building Hooks on PancakeSwap Infinity, you can attract liquidity to your pools and potentially earn revenue if you implement a Hook fee.
• For Traders: Due to Hooks’ added functionality, you can benefit from advanced features like fee discounts and improved trading conditions.

How Does the Program Work for Hook Developers?

Here’s a simple step-by-step guide on how the CAKE Emission Program operates:

1. Application: Hook developers fill out an application form to submit their Hooks.

2. Evaluation: The PancakeSwap Kitchen reviews the Hooks based on their feasibility, usefulness, and potential impact.

3. Approval: Once approved, the Hooks are whitelisted on PancakeSwap Infinity.

4. Liquidity Providers Rewards: Liquidity pools that integrate the approved Hooks will receive:

a. A share of up to 1,440 CAKE rewards per day to bootstrap liquidity b. Visibility on **PancakeSwap’s liquidity and pool creation page. ** c. Co-marketing support to drive adoption

Initial Eligible Hooks for CAKE Emission

To kick off the program, LPs providing liquidity to the following Hook-enabled pools will start earning CAKE emissions. These Hooks have been selected because the developers have actively collaborated with the PancakeSwap team over the past year, ensuring they are well-built and ready for launch.

1. Token Holding Fee Discount by Brevis

• Liquidity Pair:
• CAKE-USDT CLAMM 0.25% fee tier
• BNB-USDT LBAMM 0.05% fee tier
• BTCB-BNB CLAMM 0.05% fee tier
• CAKE-BNB CLAMM 0.25% fee tier
• Description: Offers trading fee discounts to holders of CAKE tokens.

2. VIP Discount by Brevis

• Liquidity Pair:
• USDT-USDC CLAMM 0.01% fee tier
• ETH-USDT CLAMM 0.05% fee tier
• Description: Provides fee discounts to high-volume traders on PancakeSwap.

How Developers Can Get Started Building Hooks on PancakeSwap Infinity

Getting started is straightforward if you're a developer eager to contribute to the PancakeSwap ecosystem by building Hooks. Here’s how you can dive in:

1. Build Your Hooks: Begin by exploring the resources on our GitHub page, where you can find the necessary tools and code to create your Hooks. Additionally, check out the Developer Documentation for comprehensive guides and best practices. 2. Apply for the CAKE Emission Program: Once you’ve developed your Hooks, you can apply for the CAKE Emission Program to receive rewards that will help bootstrap liquidity for your Hook-enabled pools. This is a fantastic opportunity to gain visibility and support within the PancakeSwap community. Apply for the program here.

By participating in the CAKE Emission Program, you contribute to the growth of PancakeSwap Infinity and position yourself to benefit from its rewards and support. We look forward to seeing the innovative Hooks you create!

Happy Building!

The Chef’s