What to Do When PancakeSwap Transactions Fail

crypto trading As of October 2023, the DeFi market on Binance Smart Chain (BSC) boasts around $8.5 billion in total value locked (TVL), signaling a vibrant trading atmosphere. However, recent spikes in transaction volumes fueled by the crypto resurgence have led to an uptick in swap failures on platforms like PancakeSwap. This highlights the importance of understanding what to do if you encounter potential pitfalls while swapping tokens.

The rising popularity of PancakeSwap, which handles millions of trades each day, has unintentionally contributed to this surge in swap failures. Such setbacks can lead to user frustration and financial losses, making it essential to know how to navigate these challenges effectively.

In this article, we'll dive into essential troubleshooting steps, best practices, and preventive measures to help you minimize swap failures on PancakeSwap.

🎯 KEY INSIGHT

Over 25% of swaps on PancakeSwap during peak congestion times have experienced failures, primarily due to liquidity issues and high slippage settings.

A swap failure on PancakeSwap occurs when a transaction doesn’t successfully complete. This can be due to several factors, including insufficient liquidity or excessive slippage. Identifying the reasons behind a swap failure is crucial for effective troubleshooting.

Transaction confirmations in blockchain rely on the number of blocks added to the chain since the transaction was initiated. On BSC, block times average around 3 seconds, but during peak times, delays can lead to swap failures. So, if you find yourself wondering what to do if your swap fails, start by checking the transaction confirmations.

Liquidity refers to the availability of assets to facilitate trades. Insufficient liquidity means there aren’t enough tokens to complete a swap. For instance, tokens like BONK and WIF often face liquidity challenges, which can lead to failed swaps.

Slippage is the difference between the expected price of a trade and the actual price. Setting a high slippage tolerance can lead to suboptimal trades or outright failures. It’s wise to keep slippage between 0.5% to 2% depending on market conditions.

Heavy network traffic can slow down transactions, increasing the likelihood of swap failures. Historical data indicates that transaction failures peak during significant crypto events or market movements. So, if you’re wondering what to do if you face issues during these times, remember that patience is key and consider checking the network status.