PancakeSwap, the DEX that bills itself as a faster and cheaper alternative to UniSwap, hit an all-time high today of $20.69. The total value locked in the Binance Smart Chain (BSC) also hit an all-time high recently, at $24.4bn.
The platform has been operational for half a year, compared to two and a half years for UniSwap. Considering its success, in a comparatively short time, should UniSwap be concerned?
PancakeSwap vs. UniSwap: Battle of DEXes
Although DeFi is associated with Ethereum, where DeFi activity occurs, excessive gas fees have opened up demand for cheaper alternatives. Enter PancakeSwap.
PancakeSwap is a decentralized exchange (DEX) running on the BSC. It uses an automated market maker (AMM) model to fulfill orders instead of the order book model that matches buyers and sellers as seen on traditional exchange platforms.
Code analysis shows PancakeSwap is a copy of UniSwap, with several lines still referring to UniSwap. Ethereum maxis have labeled the platform a rip-off.