PancakeSwap has introduced a new fee distribution model for its Infinity pools on Robinhood Chain, directing 90% of trading fees to liquidity providers and leaving 10% for the protocol. The 90/10 split applies across every Infinity pool currently operating on Robinhood Chain, rather than being limited to selected pairs or temporary promotional markets. Existing LPs automatically receive the new allocation without repositioning their liquidity.
According to PancakeSwap’s official fee update, the change took effect on September 23 and is intended to return a larger portion of trading revenue to liquidity providers. The adjustment changes how collected fees are distributed, not necessarily the swap fee charged by each pool. PancakeSwap highlighted WETH/USDG, NVDA/USDG and AAPL/USDG pools with 0.01% fee tiers as current examples.
Higher LP Share Targets Robinhood Chain Liquidity
The economic effect will depend on how much trading each pool actually attracts. An LP receives 90% of generated trading fees under the new structure, but realized earnings still depend on volume, active liquidity, price ranges and pool configuration. A 90% fee share is not equivalent to a 90% yield or guaranteed return, and liquidity providers remain exposed to risks including impermanent loss.
The allocation is notably higher than the split documented for PancakeSwap’s older v3 structure. General v3 documentation shows LPs receiving roughly 66% to 68% of trading fees depending on the fee tier, with the remainder allocated between protocol treasury and CAKE burn mechanisms. Robinhood Chain’s Infinity configuration therefore directs a materially larger portion of each collected fee toward LPs, although the underlying architectures and fee mechanics are not identical.
The change arrives as PancakeSwap expands its presence in tokenized financial markets. The protocol has already generated more than $1 billion in RWA trading volume across stocks, ETFs, bonds and other tokenized products, while Robinhood Chain adds another distribution environment for those assets. The larger LP allocation gives PancakeSwap another mechanism for competing for the capital needed to support those markets.
Competition for that liquidity is already significant. Uniswap surpassed $10 billion in cumulative protocol volume on Robinhood Chain during the network’s first month. PancakeSwap’s new fee split should therefore be viewed as an incentive to attract liquidity within an active multi-DEX environment, not as evidence that liquidity has already migrated toward Infinity.
Infinity Adds Programmable Liquidity Economics
Infinity’s architecture provides more flexibility than a conventional fixed AMM. It supports CLAMM and LBAMM pool types, specialized Pool Managers and programmable hooks that can execute logic before or after swaps and liquidity changes. Hooks can introduce dynamic fees, discounts, custom pricing behavior, limit orders and other pool-specific mechanics without rewriting the core protocol.
PancakeSwap is already using that modular architecture to address capital efficiency from another direction. Its Shared Inventory Hook allows common liquidity to support multiple tokenized-asset markets rather than requiring independent inventory for every trading pair. Shared Inventory attempts to reduce idle capital, while the new 90/10 split tackles a different problem by increasing the percentage of fee revenue retained by liquidity providers.
The broader multichain strategy is also changing where PancakeSwap generates activity. Trading has increasingly spread beyond BNB Chain into networks including Base, Solana and Robinhood Chain, with newer deployments producing growing trading volume relative to their deposited liquidity. That makes capital efficiency and LP economics increasingly important as PancakeSwap competes across chains rather than relying primarily on its original BNB Chain liquidity base.
The next concrete milestone is whether the 90/10 structure changes actual market conditions on Robinhood Chain. Growth in active liquidity, tighter spreads, sustained trading volume and recurring fee generation would provide stronger evidence that the larger LP allocation is working than the fee split alone. For now, the confirmed change is straightforward: liquidity providers in current PancakeSwap Infinity pools on Robinhood Chain receive 90% of trading fees, while the protocol retains 10%.
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