PancakeSwap's CAKE Rallies 27% on Binance Announcement

CAKE, the native token of PancakeSwap, a decentralized exchange (DEX) built on the Binance Smart Chain, was up as much as 27% in the last 24 hours. This comes after PancakeSwap announced a partnership with the world’s largest cryptocurrency exchange, Binance.

The token was trading around $5.50 prior to the announcement and reached $7.00 afterwards. At press time, the token was trading at around $6.40.

The partnership launches a "PancakeSwap Mini-Program" on the Binance app, which is the first decentralized finance (DeFi) project on Binance’s mobile platform, according to the press release. The Mini Program will start rolling out Thursday and eventually be available to all users of the app.

The idea behind the launch is to give Binance users easy access to PancakeSwap through the Binance app, lowering the barrier to DeFi. Binance has also announced a DeFi wallet within its app, allowing users to transfer funds and use decentralized applications (dapps) such as PancakeSwap.

Although CAKE was trading up 27% at one point, that was still 85% off its all-time high, which was reached in April 2021. Data from blockchain analytics platform Nansen shows that, on the whole, on-chain volume is still small compared to 2021.

UPDATE (March 17 14:30 UTC): Corrects percentage in headline and article.