Proposal for Adding CAKE Allocation to Bootstrap Polygon zkEVM Liquidity

PancakeSwap is proud to be one of the first to build liquidity on Polygon’s new zkEVM Mainnet Beta at launch. When expanding to new chains, it is important to begin with a bang and sustain that momentum.

To do so, we require the help of our community, and also juicy APRs. For clarity, the Kitchen will not be increasing emissions to enable these farms, and will instead by drawing from the “Multichain Warchest” allocation:

The initial set of farms listed below will receive a total of 0.005 CAKE/block:

• WETH/USDT (0.05% fee tier): 30x multiplier
• WETH/USDC (0.05% fee tier): 20x multiplier
• USDT/USDC (0.01% fee tier): 10x multiplier; and
• WETH/MATIC (0.25% fee tier): 10x multiplier

While we will endeavor to highlight new farm requests prior to launch, for reasons for competitiveness and confidentiality, we request for flexibility in distributing farm emissions to potential high-impact pairs. For clarity, these farm emissions will again be drawn from the Multichain Warchest, and will not be drawn from increased emissions.

We will continue to publish confirmation proposals (Aptos example here) once chain deployments have reached a steady-state and ensure that the community is satisfied with our deployments.

Timeline

1️⃣ This Proposal is submitted (25 July 2023)

2️⃣ PancakeSwap deploys new farms on Polygon zkEVM (if the proposal is successful)

3️⃣ Newly incentivized farms go live! All LPs are able to provide liquidity or launch new pools permissionlessly

4️⃣ Over the next few weeks, PancakeSwap observes traction and optimizes for new farms and adjustments to provide the best swapping experience on Polygon zkEVM.

Read before voting

Before you vote, please make sure you understand the impact of long and short term effects of CAKE emissions changes on our tokenomics. And also the benefits of expanding to multiple chains.

• Read and digest the CAKE Tokenomics documentation
• Read and digest the CAKE Tokenomics Twitter Thread
• Read this proposal in full;
• Make up your mind, and cast your vote!

The Kitchen will continue to observe the effect of CAKE rewards on volumes, liquidity, and usage to continue expanding on zkEVM in the following weeks. Stay tuned for more gradual reward optimizations on the path towards ultrasound CAKE, while maintaining and growing market share across all chains.

And in the meantime, read our guides on getting started with Polygon zkEVM:

• Learn How to Bridge Tokens to Polygon zkEVM
• See PancakeSwap’s zkEVM Volume on CoinGecko’s DEX Page
• Read the announcement, PancakeSwap Expands to Polygon zkEVM: A New Era of Multichain DeFi Begins