In this guide I’ll show you how to bridge your pxETH to Binance Smart Chain, provide liquidity on PancakeSwap, and of course, how to earn some yield on your pxETH.
Please note: This guide is not a recommendation and interacting with DeFi protocols can be risky. Please do your own research and use your best judgment. Best of luck out there!
Overviews
Before we start, let's go over all the details to make sure you're fully prepared.
What is pxETH?
pxETH is one of two tokens associated with Pirex ETH – the liquid staking solution for ETH that powers the Dinero protocol. Users receive pxETH when they deposit ETH into Pirex ETH. It’s liquid, fungible, and pegged 1:1 to ETH. Functionally, you can think of it as wrapped ETH (WETH).
It’s worth noting that the ETH underlying pxETH is staked in Dinero validators, but pxETH does not earn ETH staking yield. Check out this guide for more information on Pirex ETH’s two-token design and how to earn staking yield.
What is PancakeSwap?
PancakeSwap, a decentralized exchange (DEX) and automated market maker (AMM) protocol on the BNB Chain and Ethereum that facilitates token trading, yield farming, and liquidity provision. For our purposes, we’ll be using the pxETH / ETH pool on BNB Chain.
Obtaining pxETH
Before getting started, you’ll need to get your hands on pxETH. You can mint some with ETH you already own or you can buy it through DEXes like PancakeSwap, Curve, or Balancer.
If you’re looking to mint pxETH, navigate to the mint page here. The mint screen will provide you with two options:
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Mint pxETH with ETH
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Deposit to apxETH vault with ETH
If you want to earn ETH staking yields, stop reading this guide and deposit to the apxETH staking vault. But for this partnership we will be using pxETH.
Remember: pxETH does not earn staking yields. Instead, you’ll earn yield on pxETH from opportunities like the ones outlined in this guide
Bridging to BNB Chain
To bridge your pxETH to BNB Chain, head to the Dinero site and click on the “More” tab on top of the page. There you’ll find the “Bridge” page.
Since we already own pxETH, the next steps are simple:
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Connect your wallet
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Enter the amount of pxETH to bridge
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Select Ethereum → BNB Chain
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Click Approve pxETH to allow Dinero to use your pxETH. Confirm your limit amount. Wait for confirmations.
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Then click Bridge and confirm the transaction(s)
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Wait for your pxETH to arrive on BNB Chain (shouldn’t take long)
Earning on PancakeSwap Using the pxETH / ETH pool
Earning rewards with the pxETH/ ETH pool is similar to any other farm: liquidity providers can deposit liquidity and stake their positions in order to receive CAKE rewards.
After Bridging pxETH, go here to the PancakeSwap dapp. That link should bring you to the pxETH/ETH vault automatically, if it doesn’t, just do the following:
Underneath the Trade, go to Liquidity. Select V3, add the pair of “pxETH” and “ETH”, then connect your wallet and click add liquidity.
This prompt (pictured above) will appear after clicking on add liquidity. Select the amount of pxETH you would like to deposit, this will auto adjust the amount of ETH that will be deposited. I selected 0.5% for my assets range, but you can choose a range that makes sense to you. From there:
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Enable your pxETH, this will prompt a spending amount within Metamask. Confirm your spending amount and sign the transactions.
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Click “add” to provide your liquidity. This will prompt you with other transactions to add your assets.
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Finally, click stake, this will prompt you with a transaction. Sign and stake your position.
Note: Do not forget to stake your liquidity pool position, or you will not receive CAKE rewards. You must also ensure that your liquidity is in the active price range to receive rewards.
Rewards on PancakeSwap
Once staked, you’re set. You will now earn CAKE rewards for adding liquidity and staking your position with pxETH/ETH. Make sure you monitor your positions and actively harvest rewards as needed. Your CAKE rewards will be available for harvest as they’re earned over time.