Crypto Academy / Season 3 / Week 3 - Trust wallet,Metamask,Uniswap & PancakeSwap,How to link Binance smart chain wallet to Binance Exchange- Part 2
It's the season3 week3 assignment from the crypto academy, am pleased and gratefully to be a participant in this week task, I have been able to read and understand the homework task given by professor @yousafharoonkhan on Trust wallet,Metamask,Uniswap & PancakeSwap,How to link Binance smart chain wallet to Binance Exchange- Part 2, I have assimilated the task and am able to give back in my own word, and I hope it meet the professor standard.
ASSALAMUN ALIEKUN WARAHMOTULAHI WABARAKATU
What is Liquidity in PancakeSwap Explain with examples ?and add Liquidity in PancakeSwap and explain all the steps with screenshot.(explain in your own words)
Liquidity refers to the ease of exchange token into other tokens or fait currency. pancake swap exchange is a decentralized exchange that is used for swapping token and it allows staking of token in which users lock up their token in the exchange with the aim of earning after a certain period of time.
Liquidity in pancake swap exchange is the process at which user add liquidity to The decentralized exchange (which is the liquidity pool) with the aim to acquire more liquidity, adding token in pancakes swap exchange are required in pairs thus, by adding token to the liquidity pool users are bound to earn irrespective of the liquidity added to the pool with the help of an auto mated machine (AMM).
Investing in pancake swap exchange requires investors to provided equal value for investment in each token, in the sense that, the investment must be equal as 50% to 50% value,
if one is to invest 50$ in BUNNY then investment for BELT should also be 50$ make both of equal value.
For example if two pairs of token are deposited in the in the liquidity pool, let's say the tokens are BUNNY AND BELT, the expected earning are only those two token in BUNNY-BELT liquidity token, when these token are deposited, a fee charges of 0.2% will be paid of which 0.17% of this fee will be added to your token each, after they are been added/supplied to the pool. For instance if 30BUNNY and 30BELT were supplied in the pool, immediately after the supply of these token they earn 0.17% which makes it 30.017BUNNY and 30.017 BELT as a liquidity provider.
Adding liquidity on pancakeswap
To add liquidity to pancakes swap, I will be using the trust wallet application which is a dApp to process the adding of liquidity on pancakes swap
Connecting to my trust wallet app, after which I click on dApps, Amon the options below.
find and click on the pancakes swap link, it redirect to the pancake swap interface of which it has already been connected as a result of the last assignment task given.
Then, click on the three parallel line at the left top corner and a drop down will occur with various options, click "trade" and click "liquidity"
Click "add liquidity"
The next interface occur and you select the two token you want to supply to the pool, after selecting, click Approve cake, click supply, confirm the supply by click on it and the lastly you click Approve..
By following this aforementioned procedure you have successfully added liquidity into CAKE-BNB liquidity pool.
Question no 2:
How to connect Binance exchange account with Binance smart chain or trust wallet. Explain all the steps through screenshot. And transfer any coin from Binance exchange to Binance smart chain.
The following steps will be required to connect binance exchange account with binance smart chain
- Firstly input your password and click unlock, by doing this the BSC wallet will be unlocked, then
You click on the three doted line and a drop down option will be given, search for wallet direct and click on it.
Immediately it redirect you to binance website where you click on verify and connect my address
- By doing that, you will be demanded to log into your binance by providing your email and password and the confirmation with email and phone number verification will be needed, after this has been done, I was logged in since my detail are correct.
I clicked again on verify and connect my address again and a box pops up, then I tick the small box and click on I understand.
That process led to another interface where I clicked on connect to wallet, and then another box appears where I selected sign with wallet button by confirming with alphanumeric word I click on sign in wallet.
- After successful connecting to wallet, then I selected bind, out of the blue my laptop developed an issue I couldn't screenshots I had to use my mobile phone to snap
My binnance exchange has been successful connected to binnance smart chain wallet, as you can see above.
TRANSFER FROM BINANCE EXCHANGE TO BINANCE SMART CHAIN WALLET
To transfer from binance exchange to binance smart chain wallet, i login into binance smart chain wallet and copied the wallet address.
After then, I log into my binance exchange and I click on wallet, it open another page in the exchange where I click on BNB.
In the other opened interface I clicked on withdrawal and I input the BSC wallet address and the amount I intend to transfer, after filling the required form I click on withdrawal.
The withdrawal actions need to be confirmed,so I confirmed it, after the binance verification was need which is the email and the phone number verification. OTP was sent to both and I werified the transaction and the transfer was successful, I now went to the BSC wallet and checked, the deposit amount of BNB transferred from binance exchange was successful.
Question no 3:
What is the difference between Trust Wallet and Metamask and which of them is better and why? Explain in your own words.
|Trust wallet can connect only with any defi exchange that is connected to the binance smart chain||Metamask can only connect with any defi exchange that is connected to the ethereum blockchain|
|Trust wallet can only be used on mobile phones||Metamask can be used on both mobile phones and computers|
|Transactions on trust wallet and faster||Transaction on metamask are not as fast as that of trust wallet|
|Transaction fees on trust wallet and lower than that of metamask||Transaction fees on metamask are higher|
which of them is better and why? Explain in your own words.
metamask and trust wallet are both decentralized wallet used to keep crypto safe, the level of security is high if the given key are kept safe (public key mnemonic key) they both allow users to send, receive and store cryptos and also give users full control of their assets without intermediary, these are the similarities of both decentralized wallet.
Talking about which is better and why, both wallet come short in a way or the other. in the difference between metamask and trust wallet I said trust wallet transaction fee charges are low than that of metamask, so when so when it comes to transaction I will prefer trust wallet because of the low transaction fee it charges when transacting, but trust wallet come short in terms of device usage it can only be used on mobile phones while metamask can be used on both mobile and computer in some cases, mobile phone mobile phones do not grant full access to certain things when operating an application on them, users will need to access their laptops or desktop computer to give full access to operate things that can be operated on mobile phones hence, I prefer metamask because of its usage ability to work on both mobile and computer device.
Question no 4:
What is meant by PancakeSwap and Uniswap?
And what is the main difference between them?
Explain the different features of both.
Which of these exchanges is better and why? Explain in your own words.
PANCAKE SWAP EXCHANGE
pancake swap exchange is a decentralized exchange used to swap token of your choice, staking is also done in pancake swap exchange, both swapping and staking allow users to earn or make profit. In the case of staking, locking up of asset for a certain period of time will enable users to earn more of that asset, it works under an automated market maker (AMM) model of exchange, it works on the binance smart chain network with an address in bep-20, all token swapped or staked on pancake swap exchange are bep-20 tokens. At the moment pancake swap exchange is the most used the DEX because of its features and low trading fees..
Uniswap is also a decentralized exchange which support the use of buying and selling of token, swapping of token of your choice is also an option that uniswap allows, it also works under an automated market maker, it works on the etheruem blockchain netwirk with an address of ERC-20, all token traded on uniswap exchange are ERC-20 token, uniswap has a native token called UNI. user that hold this token in the DEX have more power in the DEX.
|Pancake swap at the moment is the most used decentralized exchange||Uniswap is also a decentralized exchange but with a lesser usage compared to pancakes swap|
|Availability of token are lesser in pancake swap exchange||Higher availability of token|
|Pancake swap works on the binance smart chain network||Uniswap works on the ethereum blockchain network|
|Trading fee are economical on pancake swap exchange||Trading fee are higher in uniswap compared to pancake swap exchange|
|Transaction speed are faster than that of uniswap exchange||Transaction speed are not as fast as that of pancake swap exchange|
Explain the different features of both.
Pancake futures are exchanges where trade or exchange of token are done, it has such an easy interface whereby options(features) are accessible.
The liquidity in pancake swap exchange is a feature that allows users to provide/supply liquidity, making them a liquidity provider. The liquidity provider can invest in any of the token of their choice with the aim to earn passive income or reward.
Farm is also a feature whereby users stake their asset for a certain period of time to earn another asset, among the different features of pancake swap exchange is the pool, here, users stake their asset in the pool thereby the provider earn reward as regards the particular asset staked on. for example, if BNB and cake was supplied to the pool uses get to order from the BNB-CAKE liquidity pool.
The fun way to earn in one of the features of pancakes what exchange is prediction, users can predict the price movement of a certain pairs of token and if the prediction goes right, reward will be given to those whose prediction were right.
Lottery :- In this feature, users buy ticket with their assets, if being the lucky user and you win, definitely the ticket number merge or corresponding to the winning number in the lottery game, by this you will be rewarded. Non-fungible token in pancake swap exchange is one of the features whereby users make NFT assets like art, real estate digitalized and maintain the value for the assets
Terms and profile:- In this feature, 3 surf beaches are available which are the leaderboard tax centre and profile leaderboard and number of ranking members from the first to the last, task centre is where your activities are recorded for the beginning and profile is the profile of team available in pancake swap.
The features of unistrap as swap pool vote and chart
Swap:- Listed coin in this decentralized exchange are swapped for each other with respect to users choice, I can choose to swap ETH for DAI.
Pool:- Liquidity providers are users that provide liquidity to this decentralized exchange, they supply token to the decentralized exchange liquidity pool and receives reward.
Vote:- UNI holders have more power and influence in the uniswap decentralized exchange. so to vote, it is required to have an amount of UNI so the volume of UNI a user hold determine the user effect in the development of this decentralized exchange.
Chart:- chart contains overview, pool and token. whereby overview shows the volume of token in the last 24 hours in chart, pool shows the ranking volume of token in pairs of liquidity pool in last 24 hours, token this is a section whereby ethereum based token are listed.
Question no 5:
How to connect PancakeSwap with Metamask. Explain this with a screenshot.
Since I already have a metamask on my device,
I login, and the home page of metamask appears, I click on the three parallel line at the top left corner and clicked on browser
it then redirect to space where I input the pancakeswap.finance website, I launched it and then it opens the pancake swap exchange interface .
At the top right corner, click on connect, since we are connecting to metamask among the list of wallet, I clicked on metamask
- I then select connect, I approve the connection and the the DEX has been successful connected to metamask
Pancake swap and uniswap are both decentralized exchange that give users full access to their asset, both are used in swapping and staking, that pancake swap work on binnance smart chain network while uniswap works on the ethereum network, I learnt in this homework on how to connect pancakeswap exchange to metamask and the connection of binnance exchange with binnance smart chain wallet.