How To Create BakerySwap NFT Combos
This article will teach you how to use BakerySwap, and its new NFT 'combos'. It will explain what it is, how to stake using the liquidity pools and staying safe while being a liquidity providor.
😃 Introduction
BakerySwap is a DeFi protocol built on the Binance Smart Chain that offers tasty rewards. It works as a decentralized exchange (DEX) that adopts the automated market maker (AMM) model. Stake and bake, be safe while providing liquidity and more with the help of this guide! You may have seen many food-related projects in the DeFi field.
All these protocols have a similar feature: users provide liquidity and earn tokens in return. Although most people can associate DeFi with the Ethereum blockchain, more and more projects are being launched on the Binance Smart Chain (BSC) due to its cheaper fees and faster confirmation time. In this article, we will introduce BakerySwap, a decentralized exchange built on top of the Binance Smart Chain.
In the new version of Bakery, BAKE can be used to compose a random combo meal, which is a unique NFT. Your unique NFT combo is not only a collectible item but also a BAKE farming tool. Each NFT combo has a staking power and can be staked to earn BAKE. The combo can also be traded (will be available in the next version) or decomposed back to BAKE.
As you would expect from a platform called BakerySwap, the native token is called BAKE. How can you get it? Well, you can increase it by betting on BAKE or providing liquidity to one of the pools and then betting on your liquidity pool tokens (BLP). For example, if you provide liquidity to the DOTBNB Group, you will receive DOTBNB BLP tokens. Then, you can pledge these BLP tokens to grow BAKE.
If you just want to buy BAKE on the open market instead of growing it, that is also possible. There are 4 tiers of combos, Basic, Regular, Luxury, and Supreme. The combos in the coming updates can be traded on the market. The interesting thing is that if you were lucky enough to get a combo with high staking power at a low cost, you can sell it to others to make profit.
Let's take a closer look.
🍩 The BakerySwap Exchange & Liquidity Pools
BakerySwap is one of the first projects to build AMM DEX using BSC. It is also one of the few DeFi projects on the Binance Smart Chain that provides a liquidity pool for altcoins. Is similar to other platforms that use the AMM model. No order book matches buyers and sellers. Instead, users operate with liquidity funds. Assets for each group are provided by users and followers of BakerySwap.
Users who add liquidity to these groups will receive liquidity provider (LP) tokens in return based on their level of participation in the group. They can then convert these LP tokens back to the original tokens they provided. The amount received also depends on your participation in the group. In exchange for providing liquidity, they earn trading commissions.
At BakerySwap, those interested in BAKE tokens can explore the bakery-themed menu. If you choose bread, you can bet on BAKE to win more BAKE. Or, you can bet the corresponding BLP tokens on baked goods groups, such as donuts, waffles, rolls, croissants, etc. Keep in mind that the potential return on investment for each option is different.
As of November 2020, the supported BEP20 liquidity pools are:
Bread: Stake BAKE to earn BAKE
Doughnut: Stake BAKE-BNB BLP to earn BAKE
Waffle: Stake BAKE-BUSD BLP to earn BAKE
Rolls: Stake BUSD-BNB BLP to earn BAKE
Croissant: Stake BAKE-DOT BLP to earn BAKE
Latte: Stake USDT-BUSD BLP to earn BAKE
Toast: Stake ETH-BNB BLP to earn BAKE
Cake: Stake BTC-BNB BLP to earn BAKE
🍪 How To Use BakerySwap
Once you visit the BakerySwap website, you will need to connect an eligible wallet to unlock all the features. We recommend using MetaMask or WalletConnect. Yes, MetaMask is an Ethereum wallet, but it can support the Binance Smart Chain and its DApps with ease. If you choose to use MetaMask, we suggest you check out the How to Install MetaMask guide, then follow the steps here to hook it up with Binance Smart Chain. Once everything is set up, you can unlock the wallet to reveal extra information on the website.
The process of adding liquidity to BakerySwap is not that different from Uniswap or similar platforms. You first need to add liquidity to the DEX and supply both tokens to partake in that specific liquidity pool. Once liquidity is provided, you will be able to begin farming BAKE. To add liquidity, click on Exchange at the top menu and select the Pool tab. Next, click the button “Add Liquidity.”
Next, select the token pair you want to provide liquidity for. In this example, we have selected BNB and BAKE, so we will receive BAKE-BNB BLP tokens in return.
Once you have received your BLP tokens, you should navigate to "Earning" and select the option matching your BLP tokens. In this example, we will select Doughnut.
Enter the number of tokens you want to bet and confirm the transaction. When finished, you can safely leave the page. You can check back at any time to see how much BAKE you have earned. When you place a bet or withdraw BLP tokens, the obtained BAKE will be collected automatically. You can also manually collect by clicking the "Harvest" button.
🥧 Making Your Own Combos
1. You can find a ‘Combo’ button from the homepage, click it.
2. There are four tiers of combos from basic to Supreme, please look into the details of them before your participation.
3. Check the BAKE balance in your wallet and make sure there is enough BAKE for the combo you‘d like to order.
4. Enter an amount of BAKE that you want to participate in, click the ‘Make my Combo’ button, then authorize the transaction from your wallet.
5. Once the transaction is complete, your Combo is made.
6. Meanwhile, you can check the Staking Power of your Combo which will grant you on farming.
Your Combos, Earned BAKEs, and Staking Power is displayed on ‘My Combos’.
There are two windows on the top of the page where you may Stake, Unstake or Harvest your BAKEs.
Select one of the Combos to approve your NFT BLP for farming by clicking the ‘Approve Food BLP’ button.
You can also decompose your Combo to get your BAKE back.
⌛ Conclusion
BakerySwap marked the introduction of an interesting experiment and attempted to include users who were excluded due to high fees on the Ethereum network. Retail users can try NFT's minting and asset exchange features with reduced cost and fast transaction processing, without having to liquidate their wallets to collect fees. This project beats Uniswap by a step further, adding NFT and gamification elements.
In addition, the token economy ensures the accumulation of value and incentives for users to continue to have tokens. BakerySwap's track record does not appear to be declining, and notable features are expected to be rolled out in the coming days. Although the two emerging areas of blockchain technology have interesting overlaps, BakerySwap's innovation does not appear to be slowing down.
Therefore, the team announced that they will introduce equity to grow NFT functions like MEME. A new bidding and auction system will also be developed. In DeFi and NFT, gamification is the key to attracting users and getting them to participate. BakerySwap will create giveaways and rewards for completing the BAKE missions. AMM / NFT data analysis and token price charts are also under development. At some point in the future, margin trading and derivatives will be implemented in BSC as well. Wow, so much for a simple food AMM.
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