Last week, I decided to experiment with PancakeSwap and invest a small amount to see how yield farming really works.
I started with two popular liquidity pools: BNB/ETH and BNB/CAKE. In this post, I’ll share exactly how much I deposited, what rewards I earned, and my first impressions after one week.
🥞 Why PancakeSwap?
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Low fees thanks to the BNB Smart Chain.
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High popularity and liquidity.
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Simple interface, great even for beginners.
My goal was educational, not necessarily to maximize profits. I wanted to understand how liquidity providing works and see real-world results.
💧 Liquidity Pool 1: BNB/ETH
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ETH:
0.000957 (~$4.14) -
BNB:
0.005038 (~$4.27) -
Total invested: ~$8.42
Rewards after 1 week:
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ETH:
<0.0001 (~$0.01) -
BNB:
0.00001934 (~$0.01) -
Total rewards: ~$0.02
🔢 Estimated weekly ROI:
0.028.52×100≈0.23%\frac{0.02}{8.52} \times 100 ≈ 0.23\%8.520.02×100≈0.23%
💧 Liquidity Pool 2: BNB/CAKE
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CAKE:
2.792575 (~$6.61) -
BNB:
0.002259 (~1.91) -
Total invested: ~$8.52
Rewards after 1 week:
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CAKE:
0.01288 (~$0.03) -
BNB:
0.00003372 (~$0.02) -
Total rewards: ~$0.05
🔢 Estimated weekly ROI:
0.058.59×100≈0.58%\frac{0.05}{8.59} \times 100 ≈ 0.58\%8.590.05×100≈0.58%
🆕 Live Update: Added a BNB/USDT Pool
To diversify, I just added a new liquidity pool: BNB/USDT. This one includes a stablecoin, so I’m curious to see how it performs over time.
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USDT:
3.96265 (~$3.96) -
BNB:
0.0047 (~$3.98) -
Total invested: ~$7.94
It’s too early to calculate rewards yet, but I’ll include the results in my next update.
📊 Takeaways After 1 Week
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BNB/CAKE outperformed BNB/ETH with ~0.58% vs ~0.23% weekly ROI.
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Weekly rewards look small, but annualized returns could be interesting (depending on volatility).
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Impermanent loss is real: token price fluctuations affect your total portfolio value.
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The process is simple, and BNB Smart Chain fees are very low (~$0.1-0.02$ per transaction).
🔮 Conclusion
This first week on PancakeSwap was a great learning experience.
Even with small deposits, I’ve seen how rewards accumulate and how different pools perform.
🔔 Next step: monitor rewards on the new BNB/USDT pool and post an update next week.
If you have suggestions for other pools worth trying, drop a comment!
If you have some suggestions or want me to experiment with another pair, let me know!
Thank you for reading and see you in the next post, next week!
