Proposal for Adjustments to Farm Multipliers

Proposal for Adjustments to Farm Multipliers

This proposal will boost APRs for most of our popular pairs across PancakeSwap, and is part of our preparation for our v3 deployment.

Similar to previous proposals, these adjustments do not reduce CAKE rewards to the Trading Allocation – the per block allocation to the Trading Allocation will be unchanged at ~3.11 CAKE/block as of proposal posting.

By redistributing farm rewards from the farms mentioned below, APRs for all other performing farms will be boosted, enabling a more positive environment for increased trading.

This ultimately leads to greater trading fee revenue and therefore CAKE burns, optimizing how the platform utilizes the Trading Allocation.

This allows us to ensure that CAKE emissions are distributed in a sustainable and optimal manner.

Refresher

We recently streamlined our tokenomics – structuring our emissions by function, rather than product –, and Farm Rewards are part of the Trading Allocation now. Read more here.

Example of Adjustment

(Figures are for illustration purposes only.)

Over a certain time period,

• Under performing farm receives 1x (10 CAKE)
• High performing farm receives 1x (10 CAKE)

Total Amount of CAKE distributed to farms: 20 CAKE

After 1x multiplier was removed for the under performing farm,

• Under performing farm receives 0x (0 CAKE)
• High performing farm receives 1x (20 CAKE)

Total Amount of CAKE distributed to farms: 20 CAKE (no change)

Adjustment Details

So, with the above in mind, we're proposing to redistribute CAKE rewards on the farms mentioned below:

Farm with Increased Multipliers

LP	Current Weight	New Weight	Change
USDT-BNB	60	150	+90
BUSD-BNB	95	110	+15
CAKE-USDT	10	19	+9
ETH-BNB	19	25	+6

Farm with Reduced Multipliers

LP	Current Weight	New Weight	Change
CAKE-BNB	325	280	45
CAKE-BUSD	19	10	9
MGP-BUSD	3	2	1
WMX-BUSD	3	2	1
CEEK-BNB	1	0.5	0.5
DOGE-BNB	2	1.5	0.5
GMT-USDC	2	1.5	0.5
METIS-BNB	0.7	0.6	0.1
PEEL-BUSD	0.2	0.1	0.1