The mainnet of Berachain is officially launched. This marks the beginning of the DeFi transformation period, under the novel liquidity proof (PoL) consensus of Berachain, security and liquidity can be expanded simultaneously.
Liquidity Proof: The Foundation of Berachain
The goal of the Berachain Liquidity Proof (PoL) consensus mechanism is to allow security and liquidity to scale simultaneously. In traditional Proof of Stake (PoS) blockchains, a large amount of funds are locked up to ensure network security. These staked assets, while ensuring network security, remain idle and do not contribute to ecosystem liquidity. The basic idea behind Liquidity Proof is to eliminate the trade-off between security and liquidity by incentivizing DeFi activities with sustainable staking rewards.
The third generation token model
Berachain’s economic design revolves around three different tokens:
BERA: The native token of the network, used for paying gas fees and staking
BGT (Berachain Governance Token): Non-transferable governance asset, only obtainable through liquidity provision
HONEY: The native stablecoin minted through over-collateralization
Validators propose blocks based on their BERA Stake and allocate the issuance of BGT, which can be distributed to the reward pool. The amount of issuance they can allocate depends on their BGT Stake: the frequency of proposals depends on their BERA Stake; the amount of BGT allocated based on the proposal depends on their BGT stake. Users providing DeFi liquidity can stake their receipt tokens in these reward pools to earn BGT rewards.
supports key applications for Berachain
BEX: Berachain Exchange
BEX is a native decentralized exchange with House Pools and Metapools features that improve liquidity efficiency. Liquidity providers can earn not only transaction fees but also accumulate BGT, which can be staked with validators to participate in governance and optimize emissions.
Bends: Native Lending Market
Bends allows users to borrow HONEY with collateral such as ETH, BTC, and USDC. By interacting with Bends, users can deepen liquidity and earn BGT, creating a dual incentive model for sustainable borrowing and lending.
Berps: A native perpetual futures trading platform that provides high-performance derivative trading with deep liquidity and efficient capital deployment.
With Berachain’s unique issuance mechanism, trustees need to devise complex strategies to maximize returns. That’s where BeraBoost comes in - it’s an automatic allocation algorithm developed by Chorus One Research that dynamically optimizes BGT allocation to maximize returns.
BeraBoost Working Principle
Validators on Berachain play a crucial role in the issuance distribution. Delegators staking with validators can benefit from the strategy of directing issuance into the reward pool. BeraBoost further achieves this goal by…
Allocating issuance through algorithms to maximize the reward for delegators’ reward pool positions.
Transparently guide liquidity to where it is most needed
Maximize the process of automating revenue and reducing the complexity of the entrustor’s pledge
This reflects the working principle of traditional DeFi yield farming strategies, but integrates them directly at the consensus level. As Camila Ramos emphasized, Berachain’s PoL effectively allows users to outsource their farming strategies to validators, providing a way for both experienced and novice users to optimize returns without the need for active management.
You can learn more about BeraBoost here.
Why does Berachain break the boundaries of DeFi infrastructure
Berachain’s PoL brings about a fundamental transformation to the blockchain economics. By combining security with capital efficiency, Berachain enhances not only the incentives for validators but also promotes a deeper liquidity for the entire ecosystem. The introduction of BeraBoost further perfects this model, allowing delegators to maximize returns passively while strengthening the network’s decentralized security. With the mainnet launch, Berachain is ready to redefine on-chain liquidity dynamics, governance participation, and validator incentives – all while maintaining seamless Ethereum compatibility. Builders, liquidity providers, and institutional participants now have a powerful new platform to engage with.
About Chorus One
Chorus One is one of the world’s largest staking providers, operating infrastructure for over 60 Proof-of-Stake (PoS) networks including Ethereum, Cosmos, Solana, Avalanche, Near, etc. Since 2018, Chorus One has been at the forefront of the PoS industry, offering user-friendly enterprise-grade staking solutions, conducting industry-leading research, and investing in innovative protocols through Chorus One Ventures. As an ISO 27001 certified provider, Chorus One also offers slashing and double-signing insurance for its institutional clients.
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Berachain is online, how can holders increase their income by staking BERA through Chorus One.
Author: Chorus One
Compiled by: Felix,
The mainnet of Berachain is officially launched. This marks the beginning of the DeFi transformation period, under the novel liquidity proof (PoL) consensus of Berachain, security and liquidity can be expanded simultaneously.
Liquidity Proof: The Foundation of Berachain
The goal of the Berachain Liquidity Proof (PoL) consensus mechanism is to allow security and liquidity to scale simultaneously. In traditional Proof of Stake (PoS) blockchains, a large amount of funds are locked up to ensure network security. These staked assets, while ensuring network security, remain idle and do not contribute to ecosystem liquidity. The basic idea behind Liquidity Proof is to eliminate the trade-off between security and liquidity by incentivizing DeFi activities with sustainable staking rewards.
The third generation token model
Berachain’s economic design revolves around three different tokens:
Validators propose blocks based on their BERA Stake and allocate the issuance of BGT, which can be distributed to the reward pool. The amount of issuance they can allocate depends on their BGT Stake: the frequency of proposals depends on their BERA Stake; the amount of BGT allocated based on the proposal depends on their BGT stake. Users providing DeFi liquidity can stake their receipt tokens in these reward pools to earn BGT rewards.
supports key applications for Berachain
BEX: Berachain Exchange
BEX is a native decentralized exchange with House Pools and Metapools features that improve liquidity efficiency. Liquidity providers can earn not only transaction fees but also accumulate BGT, which can be staked with validators to participate in governance and optimize emissions.
Bends: Native Lending Market
Bends allows users to borrow HONEY with collateral such as ETH, BTC, and USDC. By interacting with Bends, users can deepen liquidity and earn BGT, creating a dual incentive model for sustainable borrowing and lending.
Berps: A native perpetual futures trading platform that provides high-performance derivative trading with deep liquidity and efficient capital deployment.
BeraBoost Introduction: Optimizing Delegate Earnings
With Berachain’s unique issuance mechanism, trustees need to devise complex strategies to maximize returns. That’s where BeraBoost comes in - it’s an automatic allocation algorithm developed by Chorus One Research that dynamically optimizes BGT allocation to maximize returns.
BeraBoost Working Principle
Validators on Berachain play a crucial role in the issuance distribution. Delegators staking with validators can benefit from the strategy of directing issuance into the reward pool. BeraBoost further achieves this goal by…
This reflects the working principle of traditional DeFi yield farming strategies, but integrates them directly at the consensus level. As Camila Ramos emphasized, Berachain’s PoL effectively allows users to outsource their farming strategies to validators, providing a way for both experienced and novice users to optimize returns without the need for active management.
You can learn more about BeraBoost here.
Why does Berachain break the boundaries of DeFi infrastructure
Berachain’s PoL brings about a fundamental transformation to the blockchain economics. By combining security with capital efficiency, Berachain enhances not only the incentives for validators but also promotes a deeper liquidity for the entire ecosystem. The introduction of BeraBoost further perfects this model, allowing delegators to maximize returns passively while strengthening the network’s decentralized security. With the mainnet launch, Berachain is ready to redefine on-chain liquidity dynamics, governance participation, and validator incentives – all while maintaining seamless Ethereum compatibility. Builders, liquidity providers, and institutional participants now have a powerful new platform to engage with.
About Chorus One
Chorus One is one of the world’s largest staking providers, operating infrastructure for over 60 Proof-of-Stake (PoS) networks including Ethereum, Cosmos, Solana, Avalanche, Near, etc. Since 2018, Chorus One has been at the forefront of the PoS industry, offering user-friendly enterprise-grade staking solutions, conducting industry-leading research, and investing in innovative protocols through Chorus One Ventures. As an ISO 27001 certified provider, Chorus One also offers slashing and double-signing insurance for its institutional clients.