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PancakeSwap Confusion, V1/V2 check before swapping !!!

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Rehan
@rehan12
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Binance Smart Chain has been receiving so much attractions over the last few months, it literally surpassed the weekly transaction volume of 4 billion dollars recently. Which is probably a big concern to other leading DEX's in different other chains. The low gas fees and the amount of HYPE created by some coins have attracted users, investors and projects to give BSC a try. Thus this hype and all this new projects creating buzz around the corner.

The latest news from Pancake about migration from old version to new version (v2) has created some confusion among users. I have been using pancakeswap for some time and even I lost some money due to this confusion. I probably need to be more careful about this sort of incidents.

ACTION REQUIRED for all LP token holders

You must complete migration if you want to keep earning from any PancakeSwap LP tokens and PancakeSwap farms. All LPs will be migrated to a new, upgraded contract, over several hours starting from now.

The above message precisely refers to LP token holders. Which is, all the Lp token holders we are getting some ROI from the liquidity we are providing against different coins in the pool. In order to earn from those LP we need to migrate to the new version and keep up with it.

Now the question is, there are many people who have no idea about this message. I mean to say, there are people who gave liquidity to some pools and hardly keeps a track everyday in their pool (I honestly do not, if weekly than maybe). As a result the liquidity is currently not 100% as it used to be, in either of these versions of pancakeswap. Which is creating a massive impact in trades. I lost some money dude! So when this migration will be complete we will get the good old pancakeswap back as it used to be but till then chheck both versions of it before performing any swaps.

  • For an example

The below image is of version 1 or the old one to the left. When I swap my Glass token I see an approximate balance of $58, if I perform the swap. Forget the slippage. I am stating the facts what is happening. Now look right and you can see the same amount of my glass token and it reflects the balance of $70. A difference of almost $12 which is more than 10%. Covering all the slippage it would be much more than that.

As you can see if I would have swapped from version 1 I would have got less BUSD for my tokens and that would be a complete loss. And the same amount if I would have swapped on version 2 I would have made some extra money. Version 2 is the ultimate goal and that is understandable but when you are in a hurry or you prefer not to loose any amount of money like me (due to my mistake) you better check both the versions before you perform any sort of swaps atm in pancakeswap. When every liquidity provider will shift to v2, everything will get back to normal as usual.

Until then you do try to keep some tag on your money and better check out the market. It is slowly getting the pace once again.

Best regards
Rehan

Posted Using LeoFinance Beta