The introduction of vCAKE, alongside their already-implemented iCAKE, forms part of the strategy to continue to bring more benefits to the fixed-term CAKE holders and loyal CAKE family!
What is vCAKE?
vCAKE is a number representing the boosted voting power based on a user’s fixed-term CAKE staking position.
The vCAKE number will be added to your total voting power.
Similar to iCAKE, vCAKE is NOT a new token.
vCAKE IS NOT transferrable or tradeable.
CAKE has been and will continue to be the essential element of PancakeSwap. Everything in PancakeSwap – from trading fee burns to lottery and prediction, and our syrup pools – is built around CAKE.
Importantly, from its inception, CAKE has been playing another essential role that defines PancakeSwap – governance, and voting. Every CAKE holder who has their CAKE in their wallet or staking in PancakeSwap CAKE/BNB farm, CAKE pool, and other syrup pools will be able to participate in the governance voting or create their very own community proposal for others to vote on.
Previously, the voting power has been 1:1 to the CAKE amount a user is holding. In April 2022, the team introduced token locking with the brand-new fixed-term CAKE staking pool.
vCAKE is calculated based on two variables:
- The amount of CAKE located in the Fixed-Term Staking Pool
- The remaining lock durations of the staking positions
For point 2., it is important to clarify that the remaining lock duration is not (a) how many weeks users committed their CAKE for when you first locked it up (e.g. 52 weeks), but (b) the time remaining on your lock. In this case, if a user locked CAKE for 52 weeks around 10 weeks ago, his remaining lock duration is 42 weeks, not 52 weeks.
If his remaining staking duration is less than one week, the vCAKE is equal to the amount of CAKE locked in the CAKE pool.
If the remaining staking duration is more than one week, his vCAKE is equal to the amount of CAKE locked, multiplied by the number of weeks left in the staking position.
For example:
- Alice locked 100 CAKE for 52 weeks; her staking position will unlock in 40 weeks. She has `100 x 40 = 4000 vCAKE`
- Bob locked 100 CAKE for 52 weeks; his staking position will unlock in 52 weeks. He has `100 x 52 = 5200 vCAKE`
- Carole locked 100 CAKE for ten weeks; and her staking position has ended. She has `100 vCAKE`
Conclusion
All information on the article is for reference only, this is not investment advice. Hopefully, the information that Avaxholic has gathered in the article will be useful to you.
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