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Is BakerySwap (BAKE) a Good Investment?

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BakerySwap Good Investment

BakerySwap touts itself as the next more advanced version of Uniswap. It seeks to be cheaper, faster, and a better version of Uniswap. The ecosystem aims to reward users with BAKE tokens from which they can earn a share of the BakerySwaps trading fees and also vote for changes in the BakerySwaps governance ecosystem.  However, you might be wondering if these innovations will make BakerySwap (BAKE) a good investment in 2021.

Well, the platform cannot be ignored, considering the various surge in cryptocurrency and the numerous investments going on constantly.

Currently, Defi space seems to be making waves with lots of projects. You might have come across many food-themed projects in the Defi space.  Most of these projects share similar features, such as; users provide liquidity and earn tokens in exchange.

Although people are linking DeFi with the Ethereum blockchain, more projects are being unveiled in the Binance Smart Chain (BSC) due to its faster transaction processing and cheaper fees.

BakerySwap is one of those projects built on the Binance Smart Chain. In this article, we will look into the BakerySwap project and its features. We will analyze the expert views and know if BakerySwap could become a good investment in the long and short term. Let’s get started.

BakerySwap logo

What is BakerySwap?

BakerySwap is a decentralized automated market-making (AMM) protocol that is based on the Binance Smart Chain (BSC). AMMs facilitate token swaps using smart contracts rather than order books, allowing users to swap tokens without the services of an intermediary.

It is similar to Uniswap, but faster, cheaper and testier. Additionally, liquidity providers will also be rewarded with BAKE tokens that can be purchased and sold in cryptocurrency exchanges.

Also, it will allow users to earn a share of the BakerySwaps fees and also voting rights in the BakerySwaps governance.

The BakerySwap project is one of the first of its kind to leverage BSC to develop an AMM Decentralized exchange (DEX). It is also one of few Defi projects on the BSC to offer altcoin liquidity pools.

Like other networks that are using the AMM model, there is no Order Book to match buyers and sellers. Instead, users trade against a liquidity pool. The users of the BakerySwap are the ones responsible for providing the assets in each pool.

Users are rewarded with Liquidity provider (LP) tokens when they add liquidity to these pools (which is done based on their share of the pool).

Also, users are allowed to convert these LP tokens back to the original tokens they supplied. The amount they will receive will also depend on their share of the pool. In exchange for providing liquidity, they are rewarded with trading fees.

bakeryswap-user-interface

Is BakerySwap Safe?

The BakerySwap network is secured using real-time security monitors and intelligence systems. It has on-chain monitoring and passes many security checks.

As of the time of writing this article, there have not been any issues with the BakerySwap platform. An audit has been conducted on the BakerySwap smart contract.

However, depositing funds into a smart contract is always risky since there might be bugs or errors that might not have been seen during the time of audit.

Thus, whether you are planning on depositing in BakerySwap or any other platform, we advise that you do not deposit money that you cannot afford to lose.

What is BAKE Coin?

BAKE is the native BEP-20 governance token of the platform. The coin was launched on Binance Smart Chain (BSC) in October 2020. With BakerySwap, you can trade BEP 20 tokens, a unique token on the BSC and which is similar to the likes of ERC 20 tokens used on the Ethereum Blockchain.

The main difference is that you will be linking to the Binance Smart Chain instead of the Ethereum or ERC 20 tokens.

Presently, the Ethereum network is crowded with high gas fees. Many users are looking for avenues to reduce their gas fees when interacting with dApps or Defi.

So, one of the ways to reduce fees is by using applications that work on the Binance Smart Chain, where fees are lower and faster transaction processing.

The BakeryTokens are available for trading in various exchanges. Like we said earlier, users earn the token when they provide liquidity on BakerySwap.

backeryswap-nft

What is the BAKE Token Used for?

The BAKE token is used to participate in voting as part of the BakerySwaps governance process. Also, liquidity providers are rewarded with BAKE tokens which can be used to earn a share of BakerySwaps trading fees.

BakerySwap has two types of liquidity pools; With BAKE rewards and without BAKE rewards. This is done to facilitate the creation of new liquidity pools by the community.

It is only designated LPs that will have BAKE rewards. The reward multiplier for each will vary, majorly based on the value they provide to BAKE holders.

Below is the initial set of Liquidity pools and BAKE reward multipliers;

  • BEP20 BAKE-BNB, 10x BAKE rewards
  • BEP20 BUSD-BNB, 3x BAKE rewards
  • BEP20 ETH-BNB, 1x BAKE rewards
  • BEP20 BTC-BNB, 1x BAKE rewards
  • BEP20 DOT-BNB, 1x BAKE rewards
  • BEP20 LINK-BNB, 1x BAKE rewards

Furthermore, the liquidity providers are given LP tokens that represent their share of each pool. Through these tokens, they can earn a portion of the fees collected in the pools when removing the liquidity. Liquidity providers can then stake Bakery LP tokens to farm BAKE token rewards.

How to Buy BAKE Coins?

BAKE has been listed on many crypto exchanges. However, unlike other leading cryptocurrencies, the BAKE coin cannot be bought directly with fiat money.

But you can easily buy other cryptocurrencies like BTC, ETH, and stablecoins like USDT, BUSD from any exchange and then trade it for the BAKE token. BakeryToken (BAKE) can be purchased or sold in the following cryptocurrency exchanges:

  • Binance,
  • Gate.io,
  • PancakeSwap,
  • Hotbit,
  • Anyswap

In order to buy a BAKE token, follow the steps below:

Step 1: Register with Binance exchange

The first thing to do is to go to one of the trading exchanges and register. For example, go to Binance and register for an account. You will need to first purchase one of the popular cryptocurrencies, majorly BTC or ETH. We use Binance since it is one of the popular crypto exchanges that accepts fiats deposits.

Step 2: Purchase coins with fiat money

Once you have finished your registration and have completed your Know Your Customer (KYC) verification, you will be asked to add your payment method.

Here, you can link your credit/debit card, or you can decide to use a bank wire transfer (depending on your location). The transaction fees for card usage are slightly higher than a bank transfer, but you will receive your fund almost instantly, unlike a bank transfer that takes time. All these depend on your country of residence as some countries will offer instant cash deposits with lower fees. Mainly in some European countries.

Step 3: Buy your BAKE Coin

Now that you have bought your BTC or ETH go to market place and click “Trade” besides the Bitcoin on the right side of the page. You will be directed to a page where you can search for “BAKE” on the right side of the trading page. Once you have found the “BTC/BAKE” trade pair, scroll down below the page where you will see the “BUY” and “SELL” icons in green and red color. You can input the equivalent amount of BAKE in BTC and trade your BTC for the BAKE token.

That’s it; you have successfully purchased the BAKE coin. Remember that you can still trade your BAKE for other altcoins or stablecoins. All you need to do is to convert your coin back to BTC or stablecoin (USDT, BUSD) and use it to trade for the altcoin you wish.

BakerySwap Price Predictions According to the Experts

BAKE-coin-USD-chart

BAKE/USD chart

BAKE stakers are gaining maximum rewards from the BakerySwap platform since it is a BEP 20 standard token based on the BSC platform.

The token has gained more than 10X since its Binance and own platform trade listing. As a Binance coin, the BAKE token has massively gained popularity. And we expect that after the ongoing surge in ERC 20 based Defi, the BEP 20 based Defi will take the stage.

So far, various cryptocurrency experts have revealed their opinion concerning the future value of the BAKE token.

In Twitter, a user mannersmak believes that BAKE token price could hit $30 before the year runs out. The coin was among the 12 cryptocurrencies that he estimated their end of the year value. And from the tweet, we can see that the user is bullish for BAKE in the year.

In the same vein, Eunjin Lee asked her followers to vote on the BAKE end of the year price. Out of the over 250 votes so far, more than 38% think that the coin’s value will surpass $15 in the year, while less than 14% see the BakeryToken value hovering around $6 – $9.

Newtonlyf is another crypto trader that is optimistic about the coin’s price increase in the year. According to him, BAKE will trade between 15/20$ before the end of the year.

Having looked at that, we also moved further to look into what various crypto price prediction platforms have to say.

In Digitalcoinprice, the experts on the platform forecast the price of Bakerytoken reaching $10 before the end of the year. While in 5 years, it could get to $26. They are bullish on the short and long term.

Another website, Coinarbitragebot, thinks that BakeryToken will trade at $6.33 by the end of the year, and the price could reach $48 in the next three years. They are bullish in the long term.

The Cryptocurrencypriceprediction website is highly bullish on the BAKE token. They predict the Bakerytoken price trading above $40 in the year and above $250 in five years. Their forecast shows they are highly optimistic about the coin’s future price increase.

backeryswap-price-prediction

For now, we will stop here even though other platforms have made their BAKE future price forecast. Most of these platforms are bullish, while some are bearish. For example, Tradingbeasts, another forecast platform, is bearish for BAKE in the long and short term.

However, it seems that those that are bullish are higher. So, considering those expert opinions, BAKE might turn out to be a profitable investment in the short and long term.

Is BAKE Coin a Good investment?

If we use the expert opinions above as a case study, we could say that the BAKE coin is a good investment. `BakerySwap has all the opportunities a user seeks from a Defi protocol.

Its liquidity pool, decentralized exchange, offers users an avenue to earn using cryptocurrencies.

The platform helps the Defi project to raise funds through its launchpad. It also gives creators from the arts and gaming communities an opportunity to tokenize their assets and earn on the BakerySwap marketplace.

Going by the features and aims of the platform, it was designed to leverage every bit of growth in Defi while evolving. The growth of the BakerySwap has also reflected on its native token, BAKE – which has seen a price surge since launch. The growth of the network within the short term shows that BakerySwap is here to stay.

BakerySwap was developed as one of the major DEX on the BSC exchange. It chooses BSC to avoid high gas fees and network congestion. Also, on the BSC, BakerySwap was unveiled as the first-ever NFT -Fi platform. NFT-Fi means the use of Non-Fungible Tokens financially.

That is, it offers a traditional NFT market for artists in its community to list their artwork. All these show that there could be mass adoption of the platform in the future, leading to the token’s value increasing.

In summary, we could estimate the BAKE token value to increase in the future. Thus, making BakerySwap a good investment for the year.

Conclusion

BakerySwap is an all-around Defi ecosystem on the Binance Smart Chain. The platform seems to be a hybrid combination of PancakeSwap, Burger Swap, and Uniswap. The team behind the project appears to be confident that their services are cheap, fast, and tasty.

The BakerySwap offers yield farming, a crypto launchpad, and NFT investment opportunities, all in one platform, and these are some of the ways to earn passive income in Defi.

So, whether it’s exchanging BEP 20 tokens, earning income by staking BAKE, or creating unique NFT combos, there are lots of options for you in BakerySwap.

So, it is safe to say that the Binance Smart Chain has found an alternative during this era of high gas fees and slower transactions on Ethereum. They are giving users another avenue of entering Defi and also an easy option for developers to work on various projects.

If you found this article helpful, drop your comment below.

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Crypto enthusiast since 2016, learning every day about blockchain and the different projects that appear in the crypto-ecosystem. I write about cryptocurrencies because I want to help people get to know this exciting world.

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