A Bigger Share, With an Infinity Exception
PancakeSwap’s fee documentation lists liquidity-provider shares of 66–68% on EVM, or Ethereum-compatible, v3 pools and 84% on Solana v3 pools. The increase to 88% would therefore differ by pool.
For v3, trader fee tiers would stay the same, with more of each fee going to liquidity providers. The proposal says the new split would apply automatically to positions, without additional staking or locking requirements.
Existing Infinity pools work differently: their LP fees are fixed at creation, so lowering the protocol charge would reduce the total swap fee instead. The proposal gives an example of a 1% pool falling to roughly 0.76%, with 0.67% still going to LPs and about 0.091% to the protocol. In that case, LPs receive a larger share of a smaller fee, rather than the same earnings increase as v3 LPs.
The treasury’s fee share would fall on the two lowest EVM v3 tiers but rise on the 0.25% and 1% tiers and Solana v3. The proposed split would leave no dedicated v3 fee share for $CAKE burns.
Less Issuance, Fewer Fee-Funded Burns
The emissions reduction would mean 15,500 fewer $CAKE entering supply daily, or about 5.7 million a year, according to the proposal. The remaining 7,000 $CAKE per day would go to a new ecosystem fund called the Pantry, which the Kitchen could deploy for marketing, partnerships and liquidity incentives.
PancakeSwap v2 would remain unchanged because its fees are hard-coded. It would continue directing 23% of swap fees to $CAKE burns. Using the preceding 10 weeks’ average activity, the Kitchen projects that v2 burns alone would keep $CAKE net deflationary under the proposal, with supply falling by about 190,000 $CAKE per week after emissions.
The Kitchen says it will review community feedback before publishing the final proposal for a Snapshot vote. If approved, it plans to begin implementation in November 2026, within two weeks of passage, and finish the roughly three-month rollout by the end of January 2027.
