Top DEX on BNB Chain With Massive Potential on 2022

The Binance Smart Chain (BSC) is now the BNB Chain. BSC, crypto exchange Binance’s layer-1 blockchain, recently announced the merger of the Binance Smart Chain and the Binance Chain to form the BNB Chain.

The relaunch of Binance’s layer-1 or base blockchain is part of a plan to link it to the protocol’s governance token—BNB—to expand and build on decentralization.

PancakeSwap

PancakeSwap is one of the first decentralized exchanges to build on BNB Chain under an automated market maker mechanism (AMM DEX), allowing users to exchange BEP-20 standard tokens. PancakeSwap was first launched in 09/2020 and is always in the top 3 most traded DEX exchanges. Until now, there has been no official announcement about the founding team of PancakeSwap.

Its main features are as follows:

• Swapping: PancakeSwap is an Open Source Defi protocol designed especially for swapping BEP-20 tokens. Anyone can use this platform and swap their own BEP-20 token on the exchange which is built on the BNB Chain.
• Farming: allows you to farm its own native token called CAKE. The farming feature of PancakeSwap allows users to deposit their LP tokens and lock them up and earn CAKE tokens as rewards.
• Addition of Liquidity: As the PancakeSwap exchange works on the AMM model, the traders can swap tokens without any order books. To farm CAKE tokens, one must first add liquidity to the exchange.
• Staking: Once you have got LP tokens, it’s time to stake those and earn CAKE tokens. When you have got a CAKE token, you can stake those in SYRUP pools.
• Lottery: Apart from the swap, stake, and farm, PancakeSwap allows lottery tickets using CAKE tokens. Each lottery session takes about 6 hours and a lottery ticket costs about 10 cakes & it will give you a random four-digit combination number between 1 to 14.
• NFTs: On PancakeSwap, there is also the opportunity to trade BNB Chain-based non-fungible tokens (NFTs). To list your own NFTs on PancakeSwap, all you need to do is apply by filling out this form.

BiSwap

Biswap adopts an automated market maker (AMM) model to let users swap BEP-20 tokens issued on the BNB chain. The decentralized exchange (DEX) runs on the BNB Chain network, enjoying fast transaction speeds and low network transaction costs. Boasting one of the lowest trading fees in the market at 0.1%, Biswap is a popular platform for users looking for an affordable trading platform.

Unlike centralized exchanges, Biswap does not take custody of user funds, making it a good alternative for crypto holders who value trustless systems. Biswap allows users to exchange BNB chain tokens with low fees, while earning rewards with a referral program. Users can also provide liquidity to earn passive income, stake tokens in farms and launchpools, buy NFTs on Biswap’s NFT Marketplace, and stake them in the NFT Staking Pool.

Its main features are as follows:

• Biswap DEX with a trading fee of 0.1%
• Fee rewards
• Farming & Staking
• Lottery
• Launchpools
• NFT Marketplace
• NFT Launchpad
• NFT Staking Pool
• Biswap Referral Program
• Trading Competitions

Ellipsis finance

Ellipsis is an authorized fork of Curve Finance, which implements secure and low-slippage stable swapping on BNB Chain. As a fork of Curve, Ellipsis will receive support from the Curve team. In return, Ellipsis will ensure a few features: no deposit or withdrawal fees, no liquidity lockups, and high efficiency. 25% of the EPS total supply has also been allocated for the veCRV holders’ airdrop event.

Both Ellipsis and Curve follow the AMM (Automated Market Maker) model. AMM (Automated Market Maker) is the exchange model that enables decentralized trading by using algorithms and smart contracts to determine the price of the assets. These activities happen within a liquidity pool, where users contribute liquidity to gain incentives from the project, namely the project’s native token.

Outstanding Features

Ellipsis works pretty much like Curve. The project aims to provide the trading between stablecoins with the lowest slippage possible. Ellipsis does this by using two types of liquidity pools:

• Base pools: 3Pool (BUSD-USDC-USDT), btcEPS (BTCB/renBTC).
• Metapools: 3Pool + 1 additional asset.

Metapools allow one token to be swapped to any of the tokens in the 3Pool. For example, A metapool can be DAI – 3Pool. Liquidity providers only need to deposit DAI into the pool, and users will be able to swap from DAI to any token in the 3Pool (BUSD, USDC, or USDT). This model benefits Ellipsis in a few ways:

• Focus on only a few main pools, which increases the liquidity of those pools and avoids sharding liquidity.
• Stablecoin projects can easily provide liquidity regardless of their low liquidity. This encourages other stablecoins to be added to Ellipsis liquidity pools, which eventually increases the chance of Ellipsis being able to provide access to every stablecoin.
• Increase the trading volume, therefore increasing the trading fees that liquidity providers can earn.

Liquidity providers will receive EPS as the reward. The rewarded EPS tokens come from the protocol’s trading fees and will be vested over three months. Users can decide whether to skip the vesting period for a 50% early exit penalty. The penalty cost will be distributed to users who lock EPS in the staking pool.

EPS stakers receive not only a portion of the trading fees but also 100% of the penalty fees mentioned above. Those fees will be immediately distributed to EPS stakers, which will be equally divided after 7 days.

ApeSwap

ApeSwap is a decentralized exchange on BNB Chain with a mission to “provide accessible financial opportunities for the (crypto) masses through transparency, security, and support.” ApeSwap wants to decentralize traditional finance and create a “fair global economy” with its “sustainable, community-driven DAO.” In practice, this means ApeSwap provides DeFi tools like token swaps, staking, margin trading, lending, providing liquidity, and IDOs.

Unique Features of ApeSwap

ApeSwap has become one of the top 5 DEXes on the BNB Chain, thanks to several unique features.

• Partnerships: ApeSwap describes itself as the “most connected and most supportive DEX in crypto.” Its 200+ partners come from different sectors of the blockchain industry, such as NFT, GameFi, DeFi, bridging, launchpads, incubators, and more. ApeSwap lists all of its partners in its ApeSwap Jungle
• Variety of Use Cases: ApeSwap offers all standard functions of a decentralized exchange, such as staking, yield farming, lending and borrowing, token swaps, and more. However, it goes beyond that and provides both investors and protocols with valuable services. For instance, its Treasury Bills allow ApeSwap and other protocols to generate their own protocol-owned liquidity.
• Community Orientation: ApeSwap is governed as a DAO and strives to be transparent about its revenue creation and utilization. It displays protocol revenue and burns mechanics on its Financials and reserve governance for its most essential long-term community members – GNANA holders. 

Verdict

BNB Chain is no longer the DeFi heaven that it was in 2021. With the super high transactions at ETH, people moved to BSC and used it a lot. Combining that with the emerging high DeFi world, the amounts increased consequently higher. With over 10-15 billion dollars at its peak, BSC is no longer loved as much.

With other projects like SOL, MATIC, DOT, AVAX, and some others, BSC (also exists BNB Chain) is getting less attention. With the DeFi world fastly becoming a normal thing and Metaverse and NFT projects getting a lot more interest, this resulted in BSC losing the majority of the customers to other networks.

If you still prefer to use BSC (also exists as Binance Chain), then you could not go wrong with Pancakeswap, it is by far the best in the network. However, if you want to test out any other from our list, they are carefully picked and you could still give them a chance.

If you have any questions, comments, suggestions, or ideas about the project, please email ventures@coincu.com.

Issac

Coincu Ventures