PancakeSwap (CAKE) Soars 10% After Binance’s Strategic Investment

The world’s largest crypto exchange Binance on Monday said its venture arm Binance Labs has made a strategic investment in PancakeSwap’s governance and utility token CAKE. Binance Labs envisions leading the next wave of global blockchain adoption by providing technology development, marketing and community support, and Web3 solutions.

As a result of Binance Labs’ investment, CAKE price soared nearly 10% in a few hours. The PancakeSwap (CAKE) price is now trading at $4.78. Moreover, the trading volume has skyrocketed 95% in the last 24 hours.

Binance Labs Invests in PancakeSwap’s CAKE Token

Binance, in an official announcement on its website, on June 6 revealed that its venture arm Binance Labs has made a strategic investment in CAKE. However, the company didn’t disclose the amount it invested in CAKE.

PancakeSwap, a decentralized exchange built on the BNB chain, has grown to become the biggest dApp on BNB Chain with over 400,000 daily active users. It allows users to trade, swap, and stake BEP-20 tokens via an automated market maker (AMM) model. Moreover, PancakeSwap has a decentralized NFT marketplace powered by BNB.

A spokesperson at Binance Labs said:

“PancakeSwap has been leading the development and mass adoption of BNB Chain. Given that PancakeSwap is the most widely used dApp and the DeFi project with the highest TVL on BNB Chain, we have and will continue to provide strong support for the project.”

Since its launch in 2020, the BNB Chain ecosystem has massively grown. It has processed more than 3 billion transactions. Moreover, it has more than 1,300 active dApps related to DeFi, metaverse, blockchain games, NFT, and more.

Binance Global Expansion and Crypto Commitment Picks Pace

Binance’s missions to expand globally and work on crypto adoption have picked up pace this year. Binance and Binance Labs have also committed to helping blockchain and crypto companies.

On June 6, Binance CEO “CZ” announces a partnership with Malaysian cryptocurrency exchange MX Global to raise crypto adoption in Malaysia. Moreover, Binance and Vietnam Blockchain Association have officially entered into a strategic collaboration today.

Varinder is a Technical Writer and Editor, Technology Enthusiast, and Analytical Thinker. Fascinated by Disruptive Technologies, he has shared his knowledge about Blockchain, Cryptocurrencies, Artificial Intelligence, and the Internet of Things. He has been associated with the blockchain and cryptocurrency industry for a substantial period and is currently covering all the latest updates and developments in the crypto industry.

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