As one of the most popular DEXs in the world of DeFi, PancakeSwap offers a range of features that can be useful for users looking to participate in trading. In this episode, we're introducing some advanced features and concepts: Perpetual Trading, Zap, Limit Order, and Bridge.
What is Perpetual Trading 📉 📈
Perpetuals, also known as perpetual swaps or perps, refer to perpetual futures contracts, derivatives designed for trading the underlying asset without an expiration date. By trading on margin and being capital efficient, perpetuals enables users to leverage their capital and trade a significant notional value of the underlying asset. Users can predict the future price of an asset using borrowed funds. Additionally, by trading the contract, users can get the payoff based on the underlying asset without owning it.
Start Perpetual Trading
1- Go to Trade and click Perpetual
2- To proceed to PancakeSwap Perpetuals Trading, you need to confirm that you are not from an unauthorized jurisdiction.
3- Deposit funds - You need to deposit funds into the Futures account first, in the box on the bottom right of the screen. Various kinds of tokens can be used as collateral to pay for the trade.
4- Choose the pair to trade- You can select a tradable pair by clicking the arrow next to the pair, at the top of the page.
5- Analyze the chart and decide your trading strategy - You can analyze the chart your way with all the tools available.
Here is a guide to get started in the world of chart analysis:
- https://www.binance.com/en/support/faq/how-to-use-tradingview-on-binance-website-8419126024404348a1c6e4039fbed3fe
- https://academy.binance.com/en/articles/a-beginners-guide-to-candlestick-charts
- https://academy.binance.com/en/articles/trend-lines-explained
6- Create your position: In the upper right part you have the board to position your order.
6.1- Here, you must set several parameters, like: The Margin Mode: Cross or Isolated
6.2- The x of the leverage (Disclaimer: Remember that a high level of leverage carries a very high risk, use it wisely).
6.3- Type of Order
6.4- Place a price for your order.
Note: You can use “Last” to fill in with the current last price.
6.5- Set the order size
7- Send your order
8- Check your position - Once the order has been sent, it will appear in "Open Orders" until it is filled out.
9- Live - When it is filled, your position will be live. You can see it in the positions panel. Also you can view, edit, or close it. Good luck with your trades!
Zap
Discover Zap: Simplify Liquidity Provision with One-Click Trading Zap streamlines the liquidity process by eliminating the need for manual swapping or token balancing. With Zap, you can add liquidity to a trading pair using only one token and a single click. The platform automatically performs swaps and balances the pair to a 50/50 split for a hassle-free experience.
Enjoy Flexibility with Imbalanced Token Pairs. Even if the number of tokens you provide in a trading pair is not balanced, Zap allows you to add liquidity effortlessly. For example, if the current pool weight is 50:50, and you provide a 30:70 ratio, Zap automatically rebalances the tokens to achieve a 50/50 split before adding liquidity.
Effortlessly Remove Liquidity with Swaps Zap also simplifies the process of removing liquidity. You can choose which token(s) you wish to receive in the trading pair. Zap will perform swaps automatically before returning your tokens, ensuring a seamless experience. Experience the convenience of Zap today.
Zap In (Add Liquidity)
1- Go to the Liquidity page and click "Add Liquidity".
2- Choose the trading pair you want to provide liquidity for by selecting two input tokens.
3- Click the** "Add Liquidity"** button to continue.
4- If the token in the trading pair you are adding liquidity to has a balance in your wallet. The checkbox for that token will be automatically checked. If you have both the tokens in your wallet, both checkboxes will be checked.
Scenario 1: Zap using one token
You can add liquidity using only one token in the trading pair. Simple check only one checkbox for the token you wish to use. Zap will automatically swap half of the checked tokens into another token in the trading pair before adding liquidity. You will see a warning message indicating which token will be converted.
*If the price impact is too high, Zap will protect you by slippage. Click “Reduce TOKEN” to reduce it to the preferred limit.
Scenario 2: Zap using two tokens with imbalanced amounts
If both tokens are good to go but the amounts of the input tokens don't match a 50/50 split. Zap balancing is here for you! You will see a message : “Some of your Token A will be converted to Token B”.
If you don’t want Zap to balance the number of tokens before adding liquidity, simply click “Don’t Convert”.
In this case, Zap will adjust the number of input tokens to match a 50/50 split instead of trying to swap and rebalance.
Proceed with Zap
When you click “Supply”, the details of the Zap will be shown and await you to confirm.
You will see:
- How many LP tokens you will receive.
- What are the input tokens, and the number of tokens you are committing.
- How the input tokens are traded in order to match a 50/50 split.
- The slippage tolerance you are using.
Zap out (Remove Liquidity)
Zap also enables you to receive one single token in the trading pair when removing liquidity.
1- Visit the Liquidity page.
2- Click on the pair you want to remove liquidity under “Your Liquidity".
3- Click “Remove”. A new pop-up will appear.
4- Under the “You Will Receive” section, you can uncheck the token you don’t want to receive. Zap will automatically swap and convert 100% of the returns into the checked token when removing liquidity.
Limit Orders
Limit orders allow you to buy or sell swaps at specific prices by leaving instructions to fill your order, when the price on PancakeSwap reaches your specified limit price or better. This means that your trade will only be executed if the price reaches the desired level, giving you greater control over your transactions on PancakeSwap!
How to implement limit orders
1- Go to Trade, click Limit Orders
2- Choose the token you wish to trade from the dropdown menu in the upper token section.
3- Decide how much you want to exchange and input the amount in the upper token box.
4- Users can then choose the price at which they want to trade.
5- Users can customize the transaction speed and slippage tolerance for their order by accessing the Settings button in the top-right of the limit orders section.
6- The final action is to activate the asset on the DEX. This prompts the connected device to request permission to execute the transaction.
Bridge
Looking for a seamless way to transfer your native assets across different chains? PancakeSwap Bridge is here for you! PancakeSwap Bridge is a native asset cross-chain bridge. With this integration, our users can bridge in native assets from one chain to another.
Steps
1- Go to the PancakeSwap Bridge.
2- Connect your wallet by clicking on "Connect Wallet." You can select different blockchain networks while connecting your wallet. These are the available chains:
3- Select the token you want to convert and the existing blockchain network. You can switch to a different blockchain network at the top right corner. Then select the token you want to receive and the blockchain network you wish to receive them on. Then, enter the amount you want to swap.
4- After entering the amount, you can see the fee breakdown by clicking the dropdown arrow. Fees are 0.1% per transaction. For more details, continue reading and checking the fee structure section.
5- Click "Approve" to approve the transaction in your wallet. Once the transaction is approved, you will see this notification in the top right corner of your screen.
6- After the approval of your assets, confirm the transaction in your wallet. You will see a pending message until you approve the transaction in your wallet.
7- Please wait a few minutes for the completion of the transaction. You can check the timer on the screen to track how much time remains. You can also follow the transaction on the blockchain explorer. Once it shows "Finished", check your funds on the destination address and now you're ready to explore the PancakeSwap and BNB Chain Ecosystem!
Whether you're a DeFi trading beginner or pro, PancakeSwap offers a range of advanced features and streamlined processes to help you level up!
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