Cakepie Expresses Displeasure Over PancakeSwap Tokenomics Proposal 3.0

Cakepie expresses deep concern over PancakeSwap’s Tokenomics Proposal 3.0, particularly the planned phase-out of veCAKE.

As the largest and most committed veCAKE holder, they felt blindsided by the announcement, which was shared publicly at the same time as the rest of the community. Given their ongoing support and contributions, this sudden change seems to contradict the trust that they have built over time.

PancakeSwap Tokennomics 3.0 Proposal

The proposed retirement of veCAKE would have severe consequences for Cakepie and numerous projects that have built their foundations on long-term collaboration with PancakeSwap.

Their ecosystem is deeply rooted in veCAKE, with significant amounts of CAKE locked for an extended period as a testament to their dedication. Eliminating veCAKE would abruptly nullify this commitment and compromise the trust and hard work of all stakeholders who have invested in PancakeSwap’s vision.

This decision sets a concerning precedent in decentralized governance. It demonstrates that sudden changes to fundamental rules can undermine even long-term commitments and investments. These changes, made without prior discussion or community input, penalize loyal stakeholders unfairly.

Potential Risks of VeCAKE’s Removal

The removal of VeCAKE will significantly risk PancakeSwap’s ecosystem. It will undermine confidence among protocols currently building on PancakeSwap, which could discourage future integrations.

It will eliminate substantial co-incentives and voting rewards for projects engaging with veCAKE voters. Consequently, veCAKE may lose its competitive advantage as a go-to DEX for new protocol token launches and incentivized pools, making alternatives like Uniswap more attractive.

Cakepie further expresses grave concerns regarding the integrity of the governance process. On-chain data reveals that multiple wallets locked approximately 25 million CAKE tokens just before the proposal’s announcement, suggesting a coordinated effort to manipulate the outcome.

Furthermore, this behavior raises questions about fairness, transparency, and the decentralization principles that underpin PancakeSwap. A compromised governance process erodes trust, and we cannot ignore it. They believe that such actions undermine the foundation of PancakeSwap and require attention.

Cakepie’s history demonstrates its strong commitment to PancakeSwap and the broader BNB Chain community. They locked in 13 million CAKE, contributed to liquidity growth, supported improved user yields, and collaborated with protocols to bring liquidity and voting incentives to PancakeSwap’s ecosystem, all facilitated by veTokenomics. A belief in community ownership, decentralization, and sustainable long-term growth guides their actions.