How to Buy PancakeSwap (CAKE) Online in 2022
Cake is the native cryptocurrency for the PancakeSwap blockchain. PancakeSwap is one of the top decentralised exchanges (DEX) that runs on the Binance Smart Chain (BSC). This is the ultimate guide on PancakeSwap (Cake). We explore ways to buy cake, the factors to consider, and essential tips about payment methods.
Best Exchanges to Buy PancakeSwap (CAKE) in 2022
If you need to buy Cake quickly, choose from the list of the best platforms below:
What Is the Difference Between Buying and Trading PancakeSwap (Cake)?
Buying and trading are different in several aspects. Buying Cake tokens is preferred by holders who are looking at the long term. All trading platforms will make it easy to buy cake via another crypto or fiat currency. Trading enables users to avoid the hassle of owning and storing the Cake assets. Brokers provide a wide variety of trading options that traders utilize to make margins in the short or long term.
How to Buy PancakeSwap (Cake) Online
Investors can buy Cake using fiat currency on a few exchanges. The use of stablecoins and mainstream cryptocurrencies is the best way. There are two main methods to buy CAKE online:
Buying PancakeSwap (Cake) Using Fiat Currencies
Step 1: Find a suitable fiat to crypto exchange
Step 2: Sign up and fund your exchange account
Step 3: Make the purchase
Step 4: Storage
Buying PancakeSwap (Cake) Using Cryptocurrency
Most crypto to crypto exchanges will require stable coins like Binance USD and Tether or major cryptos like Bitcoin or Ethereum for purchases. Here is a step-by-step guide on how to buy CAKE using cryptocurrency.
Step 1: Buy crypto from fiat to crypto exchange
Step 2: Transfer your crypto
Step 3: Connect the wallet to PancakeSwap
Step 4: Swapping
How to Trade PancakeSwap (Cake)
Some exchanges provide more than the basic buying and selling of cryptocurrency. Investors can also trade Cake using various options including spot trading, perpetual futures, and margin trading with extras like copy trading. For instance, Gate.io allows investors to trade futures for the CAKE_USDT pair. Here are the steps that will guide you to make a classic trade for CAKE. It involves placing an order for the CAKE tokens at a market or limit order.
Step 1: Find an online broker
Step 2: Deposit money
Step 3: Decide how to trade
What Are the Different Ways to Pay for Cake?
Every exchange or broker offers payment options depending on partnerships and jurisdiction. There are standard methods that are available in most exchanges including bank transfers and wire transfers. Here are the most common methods to pay for Cake:
Credit /Debit Cards
They are offered by financial institutions such as banks and allow holders to use funds against an account.
Purchasing CAKE with cash is not a popular option, although possible. The process will involve looking for vendors willing to sell Cake in person.
Popular e-wallets include Paypal, Neteller, and Skrill. Users can fund their wallets through various means, including bank transfers.
Using Other Cryptocurrencies
This is the accepted method on crypto to crypto exchanges. Users will need to have a stablecoin like Tether, Bitcoin, or Binance USD to make the swap possible.
Bank transfers are the most popular method of payment on exchanges and brokers. Investors need to link their bank account to the crypto exchange.
What to Consider When Buying PancakeSwap (Cake)
As an investor, there are several factors to check before deciding to buy a cryptocurrency. We investigated the top factors to consider before purchasing Cake:
PancakeSwap roadmap and functionality: Long-term investors need to understand what the whole project is trying to achieve and evaluate the prospects. PancakeSwap is a major exchange that allows users to trade, earn and win crypto.
Competition: PancakeSwap is a DEX that is founded on the Binance Smart Chain. There is a lot of competition in the DEX space with heavy hitters like Uniswap, 1inch, and DyDx. New and existing platforms may erode the appetite for Cake tokens. On the plus side, there is a periodic burn on the cake tokens, which supports the token’s price.
Deposit Fees: These vary across exchanges depending on the funding method and region. Crypto and bank deposits are typically free or have minimal charges applied. Credit cards face the heftiest fees.
Trading Fees: These mainly depend on the business model of the exchange or broker. Some exchanges like Binance offer minimal trading fees. The charges can be fixed according to various tiers. Other exchanges consider the 30-day trading volume of an account and provide a tiered fee structure based on the trading activity.
Volatility: The volatility in market prices for crypto is well documented, with extreme movement in short periods. Cake tokens are no different, swinging an unbelievable 140% between July and August of 2021.
Short-term Holding: Due to the extreme market volatility that characterises Cake prices, short-term holders can rake in profits when the market swings positively. Presently the overall ROI stands at over +1500%. On the downside, this strategy is susceptible to loss of investment.
Availability on Crypto exchanges and P2P marketplaces: Cake investors should not worry because these tokens are available in most exchanges such as Binance, Kucoin, and Gate.io. Investors should note that it is hard to find Cake in P2P exchanges.
Is It Safe to Buy PancakeSwap (Cake) Online?
Considering the many security breaches experienced on platforms, it is advisable to take some extra steps to guarantee the security of your data, funds, and Cake tokens. Here are a few ways to ensure your online purchase is secure.
Two-factor authentication: On sign up, activate 2FA authentication. Codes can be sent to email or SMS. Another option is the use of the Google Authenticator App.
Use secure wallets: Storing Cake tokens in the crypto exchange is not recommended. Wallets like MetaMask and Trustwallet are compatible with CAKE tokens.
Ask for help on official sites only: Avoid getting scammed by asking for help on forums like Telegram.
Use a secure internet connection: Investors should avoid accessing exchanges or wallets on public networks; otherwise, we recommend using a VPN.
Provide only mandatory KYC: Providing personal details on exchanges is compulsory in some jurisdictions. We recommend providing only what is compulsory to complete the verification process. Only buy CAKE tokens on reputable exchanges.
How to Store Cake
After buying Cake tokens, we recommend transferring them to a wallet off the exchange. Investors have to realize that exchanges may not be the best place to store Cake tokens. There are two broad-based categories of wallets:
Hot wallets: Hot wallets are downloadable and connect to the internet. They make trading and spending crypto easy. Hot wallets can be further categorised as mobile, web, and desktop wallets. The downside is that hot wallets are vulnerable to attacks. The hot wallets for Cake tokens are trust wallet and Metamask.
Cold wallets: Cold wallets are offline and more secure. They are less convenient for traders who want to trade Cake E frequently. The cold wallet option for Cake tokens is Ledger.
How to Sell Pancakewap (Cake)
After holding your Cake, either long or short term, you need a way to liquidate the tokens. See below for the best way to sell Cake tokens.
You can sell your CAKE tokens for other stablecoin or cryptocurrencies like Bitcoin and Ethereum. The selling process is similar to buying. The process involves:
Step 1: Register/login
Step 2: Transfer your Cake tokens
Step 3: Swap
Step 4: Sell
Step 5: Confirmation
Brokers offer spot trading, contract for differences (CFDs), and spread betting. CFDs allow investors to trade and sell CAKE without owning it. Users can customize their risks and profit margins.
Is It Worth Buying PancakeSwap (Cake) Right Now?
You may be browsing the digital asset catalog and wondering whether Cake is a worthy investment. Digital assets are a risky investment due to the wild price swings. Cake Has immense potential both in the short and long term. Prices are likely to be fanned upwards by the continued burning of Cake tokens and the features in the PancakeSwap ecosystem. Investors should also consider investing and earning the Cake tokens on the PancakeSwap ecosystem. Data from the PancakeSwap website shows 2.8 million users and 31 million trades in the last 30 days. With around $1.4 staked and locked into the ecosystem, the figures look impressive.
Cake is an exciting altcoin that incentivises usage of the PancakeSwap ecosystem. Buyers can buy Cake with fiat currency or using cryptocurrency like Bitcoin. With the tips, buying guides, and considerations we have analyzed, investors should be better positioned to make an informed investment decision on Cake.