PancakeSwap has officially announced the CAKE Tokenomics 3.0, which will begin at 8:00 am Beijing time, April 23, 2025. This update will see other significant changes, i.e., the retirement of veCAKE and Gauges Voting, unlocking of staked tokens, and a reduction in CAKE emissions.
Changes in PancakeSwap Tokenomics 3.0 include:
🥞The official implementation of CAKE Tokenomics 3.0 is now underway. Here’s what you need to know about the changes and important dates:
Key Milestones:
🔹Retirement of CAKE Staking, veCAKE, Gauges Voting, Revenue Sharing, and Farm Boosting
🔹Voting results from Epoch 37 will… pic.twitter.com/3mj2Hk08BY— PancakeSwap (@PancakeSwap) April 21, 2025
Retirement of veCAKE and Gauges Voting:
veCAKE and Gauges Voting will end with Epoch 37 on April 23. Although voting ends then, rewards from Epoch 38 (April 25–May 6) will still be distributed, and accrual of rewards continues until May 7, 2025. After this, no new veCAKE-related rewards will be issued.
Unlocking of Staked CAKE and veCAKE:
According to the announcement, all CAKE and veCAKE staking will be unlocked on April 23 at 08:00 AM UTC. Users who staked directly via PancakeSwap can redeem veCAKE for CAKE at a 1:1 ratio. The redemption period will go on till six months, and will end on October 23, 2025.
For users who staked through third-party managers like Aster, StakeDAO, or CakePie, PancakeSwap will whitelist the protocols for 1:1 redemption through their respective platforms.
End of Farm Boosting and Revenue Sharing:
Farm yield boosting and revenue sharing will be gradually discontinued between April 24 and May 7, 2025. The 5% revenue share from v3 trading fees will be redirected to CAKE burns, raising the burn rate to 15% for these pools.
CAKE Emission Cuts:
In Phase 1 (April 25), daily emissions will drop from ~29,000 to 20,000 CAKE.
Phase 2, will be launching within four weeks. The Phase 2 will further reduce emissions to 14,500 CAKE/day, resulting in an annual burn of 5.3 million CAKE.
Permanent Lock of Delegated CAKE:
Roughly 5.29 million CAKE, delegated via the CAKE Pool to platforms like StakeDAO and CakePie, is now considered burned and permanently locked. These platforms will coordinate redemptions for users.
Apart from this, users can claim rewards before May 7, 2025, to receive benefits from Epoch 38. Community members can also redeem staked CAKE/veCAKE before October 23, 2025.
Also Read: PancakeSwap’s Tokenomics Proposal 3.0 Sparks Controversy
