Original title: Berachain Ecosystem Guide: It is finally REAL
Original author: getmoni_io, member of Moni
Compiled by: Ashley, BlockBeats

 

Editor’s note: The article introduces the Berachain ecosystem and its innovative Proof-of-Liquidity (PoL) consensus mechanism, emphasizing rewarding liquidity providers and verifiers through user interaction with the network. Berachain aims to engage users through dynamic inflation and decentralized economic models. The author also reviewed multiple Berachain ecosystem projects, including DeFi apps and the NFT series, demonstrating the potential and opportunities of this emerging ecosystem.

 

The following is the original content (the original content has been compiled for ease of reading and understanding):

 

Introduction to Berachain

 

Berachain is an EVM-compatible Layer 1 blockchain built on top of the Cosmos SDK and provides security through a new consensus mechanism called Proof-of-Liquidity (PoL).

 

PoL is similar to Proof-of-Stake (PoS), but goes further. Users can interact with apps and participate in the DeFi protocol while earning $BGT rewards, which is a governance token. BGT can be destroyed in exchange for $BERA, which can be used as pledge.

 

·The higher the liquidity in a given protocol → the higher the reward for the verifier.

·The bigger the reward → more verifiers choose to pledge their $BGT in the agreement.

·More $BGT → Greater rewards for users.

 

 

The agreement is interested in creating its own Gauge and attracting liquidity. The more rewards they allocate to validators, the more their liquidity providers (LPs) will get rewarded in $BGT. As a result, more users want to become LPs of the agreement and purchase native tokens for the project, which also has a positive impact on its price. It’s like a pyramid, with each layer covered with rich sweet honey, ensuring that all participants stay active during the process.

 

Berachain’s three core tokens

 

$BERA-The main token that will be traded on the exchange and used for pledge.

 

$BGT-A non-transferable governance token that can only be exchanged for $BERA by destroying $BGT. Earn rewards through contributions to the network.

 

$HONEY-Local stablecoin for the network.

 

The difference between PoL and PoS

 

·Proof of Stake (PoS) only rewards users to pledge tokens even if they are not actively participating in the network.

 

· Proof of Liquidity (PoL) rewards users for their interactions with the network, ensures fair security compensation, and makes participation more attractive.

 

Fast transactions and extremely low fees are no longer attractive-many networks offer similar features, each trying to outperform the other. The real magic is when users have reason to stay on the platform. This challenge is very difficult, and so far, no one seems to have completely solved it.

 

Blockchains like Solana and Ethereum can only retain users through third-party developers in their ecosystems. Without DeFi visionaries, who would use Ethereum? Without this meme craze, who would use Solana?

 

Berachain attracts users through an economic model where value flows between apps and the network-and ultimately those values come back to you in the form of rewards.

 

Most PoS networks suffer from fixed inflation-like paying security fees for empty stores. Berachain solved this problem by introducing dynamic inflation, adjusting rewards based on actual needs.

 

Comparison between PoS and PoL

 

In PoS systems, users must choose between pledging tokens for security or using them in DeFi to generate added value. PoL separates these functions into two different tokens:

 

$BERA: Ensure network security and use it for fuel costs.

 

$BGT: Used for rewards, delegation to validators, and governance voting. It can only be earned by pledging $$BERA as a verifier or depositing assets in a reward vault. Verifiers pledge BERA to earn BGT rewards. The more capital you lock in, the more rewards you will receive.

 

Is Berachain just a liquidity provider?

 

Users do not have to lock BERA to the verifier. Instead, they can participate in ecosystem applications, get “checks” for the activity, and deposit them into a reward vault to receive BGT.

 

·Can be any token.

·There are no creative limitations on the project.

·”Check” can be obtained through any activity-you don’t even need to provide liquidity.

 

Projects can simply assign “checks” by using their application. Verifiers receive rewards in the form of BGT, but most of the rewards go into a reward vault (similar to storage) and then distributed to users. Agreements can pledge BGT on behalf of their users, thereby encouraging more participation.

 

Where can Proof of Liquidity be applied?

 

Decentralized Exchanges (DEXs):
Unlike traditional token incentives, DEX allows users to earn BGT through verifiers, reducing risk for participants.

 

Real World Assets (RWA):
PoL can be used to encourage tokenization of assets, such as real estate. Users earn BGT by discovering favorable deals or interacting with the platform.

 

·Layer 2 on Berachain Stack:
Applications that require high throughput can launch their own L2 on Berachain while maintaining access to PoL.

 

Investors: Polychain Capital, Framework Ventures, Brevan Howard Digital and others invested $142M, as well as smaller funds such as Shima Capital and Tribe Capital.

 

Official website-https://www.berachain.com/
Twitter-https://www.gushiio.com/berachain
Discord-https://discord.com/invite/berachain
Documentation-https://docs.berachain.com/

 

 

Projects worthy of attention

 

Next, we will review the most interesting projects one by one and try to answer a key question-what should we do?

 

Some projects are rushing to launch tokens, while others are gradually advancing through the points system. You can expect the project to reward Discord characters. If you’ve been actively involved in character activities over the past few years-congratulations, this may lead to a solid airdrop. Projects participating in Boyco will have special tags for easy identification. However, Boyco participants received no significant advantages other than the 2%$BERA reward.

 

Shogun

 

General Shogun-an intent-based DeFi protocol that connects different blockchains and allows users to conduct cross-chain transactions through a unified interface. Users can exchange assets without manually bridging tokens or switching wallets. The protocol uses a hybrid approach: liquidity comes from both CEX and market makers, as well as DEX and passive liquidity pools. The project offers multiple trading options and interfaces, including Telegram robots, mobile/desktop applications and widgets for other platforms.

 

Investment status: $6.9M, invested by Polychain Capital, dao5, Arrington Capital, etc. Participated in the Build A Bera project.

 

Operation advice: Join Discord and actively participate in project activities. Create art, write Twitter threads and post them on community forum channels. Your content may be noticed by the team and given the appropriate role. You can also participate in project activities, such as today’s poker game at 3 PM UTC. Through these activities, you can earn the role of Goat or Shogun Oakmont.

Waiting for the reward event to be launched, there may be a points system and NFT collections.

 

Kodiak (Boyco)

 

Kodiak is a decentralized exchange (DEX) on Berachain that provides intelligent liquidity management. It allows traders to quickly redeem tokens, while liquidity providers can automatically manage liquidity pools and earn incentives without requiring complex operations. The team’s main products include: Kodiak DEX for transactions, Kodiak Islands for automated liquidity management, Sweetened Islands for incentives for participants, and Panda Factory as a launch platform for new tokens. All of these features make trading and asset management more seamless within the same ecosystem. The agreement has received a cumulative amount of US$1 billion in deposits and participated as part of Boyco.

Investment: Shima Capital, Kenetic Capital, Amber Group, etc. invested US$2 million. Participate in Build A Bera project.

 

Operational advice: Wait for the points system to go online and provide liquidity. There are no social activities in the project, and roles cannot be obtained through farm-based methods. You can deposit funds into a liquidity pool through providers like EtherFi, which allows you to earn points for multiple projects, including Kodiak.

 

Infrared (Boyco)

 

Infrared is a liquid pledge agreement that allows users to pledge BERA and BGT tokens on Berachain and receive iBERA and iBGT in return. In this way, users can use their assets to participate in the DeFi protocol while earning pledge rewards. The project works with verification nodes on the Berachain network and integrates with applications such as BeraBorrow (iBGT backed loans), www.gushiio.comswap (loans and liquidity) and Kodiak (liquidity pool management).

Investment status: US$2 million, Binance’s first investment in the Berachain ecosystem. Participate in Build A Bera project.

 

Operational suggestions: Wait for the launch of the points system and PoL incentives, and pledge tokens. Join the Discord Channel and earn Illuminance roles by actively participating or winning at Rumble events.

 

Ramen

 

Ramen is a decentralized protocol designed for liquidity management and token launch. The project provides a solution to maximize capital efficiency by using a centralized liquidity mechanism on Ramen DEX and a token launch platform on Ramen Launchpad. The project uses community governance and uses veRAMEN tokens to determine the allocation of liquidity incentives and negotiated revenue.

 

Operational suggestions: Gacha registration is required at the beginning of $RAMEN sales, and the actual private placement round/ Gacha round contribution phase will begin in 1-2 days. In mid-January, a snapshot of NFT holders was taken and rewards will be distributed among these holders. All we need to do is stay focused and participate in BGT farms through this agreement.

 

Beratone (Tasty NFTs)

 

Beratone is an online P2E (Play Earn) farming and fishing simulation game for PC and mobile devices. Inspired by Stardew Valley and Animal Crossing, the game provides players with the opportunity to explore the world, manage farms, collect resources, customize homes, and interact with other players. The team’s goal is to attract casual players who may not be familiar with cryptocurrencies. The game integrates blockchain mechanisms that allow players to earn and trade rare in-game items.

Investment: Animoca Brands, SNZ Holding and others invested US$2 million. Participate in Build A Bera project.

 

Operation suggestion: The team promises to launch a demo soon. Initially, access will be limited to NFT holders. The prices of these NFTs do not rise before they go online like NFTs in other ecosystems. Having these NFTs can unlock Diamond Paws characters and gain various in-game privileges. You can join Discord and try to get different roles:

 

Collector: Get characters by purchasing articles.

 

TonePoster: Get rewarded by posting emojis on Twitter.

 

BeraVinci: Get rewarded by posting works of art on Twitter.

 

BasedBera: An extremely important role that is assigned manually by the team.

 

Berabot

 

Berabot is a trading robot on Berachain that is currently only available on Testnet.

 

Operation advice: The project has an NFT collection consisting of 4200 items, and the holder will receive 10% of the project’s tokens through airdrop. In addition, NFT holders will also receive FCFS whitelist positions on the Steady Teddies collection.

 

Beraborrow (Boyco; Tasty NFTs)

 

Beraborrow offers instant liquidity by issuing a stablecoin Nectar ($NECT), fully backed by the network’s local assets. Users can deposit Infrared’s iBGT (pledged derivatives) and LP tokens into specific Dens, minting $NECT and using it in Berachain’s DeFi ecosystem.

Investments: Undisclosed amounts of investments by Dewhales Capital, Optic Capital and Hercules Ventures.

 

Operation advice: The project has an NFT collection, but according to Discord, no snapshot has been taken yet. It is likely that NFT holders will receive airdrops, although this has not been directly confirmed. However, they mentioned holding these NFTs. A points-based event is expected to be announced soon, so keep an eye on updates.

 

Gummi

 

Gummi is launching a trading terminal specifically designed for trading in the Berachain ecosystem. It will include a customizable trends page to help users quickly discover new trends.

Investment: Arrington XRP Capital, Animoca Brands, Cypher Capital, etc. invested US$2 million. Participate in Build A Bera project.

 

Operation advice: Wait for the project to be launched and the reward system. For now, you can test the app on testnet, but don’t expect to get rewarded for a while.

 

Goldilocks DAO (Boyco)

 

Goldilocks DAO is a Ponzi ecosystem similar to the YES project on Blast, offering DeFi and NFT loan solutions. It consists of three products and three tokens:

 

Goldiswap: An AMM that manages the price of LOCKS tokens to ensure that its minimum price increases gradually, meaning that the price of LOCKS tokens will not fall below a certain minimum.

 

Goldiend: A lending platform that uses blue-chip NFT as collateral.

 

Goldivaults: Tokenize future DeFi earnings positions for trading and speculation.

 

Investment situation: HackVC, Shima Capital and others invested US$1.5 million.

 

Operational advice: The project will launch its tokens when Berachain launches. In Boyco, it did not arouse much enthusiasm and achieved a milder TVL. This is understandable because it doesn’t offer much other than the $BERA token. Keep an eye on the launch of the platform and the subsequent development of the Ponzi model.

 

Blast

 

Blast is a project that offers no points, no venture capital support, no social influencers, no low-quality mobile apps, and no rewards. Only $BLAST.

 

Operation advice: This is a meme coin from CBB and will be distributed to those who can sell $BLAST airdrops the fastest. Pac-man will also receive 0.5% of the total supply, which is interesting.

 

Smilee (Tasty NFTs)

 

Smilee is a platform on Berachain where users can earn revenue through price fluctuations and manage asset liquidity. The platform allows volatile trading, opening long and short positions, with no liquidation risk. The protocol is currently online at Arbitrum and is being actively tested. The project is planned to launch next week on Berachain, along with the launch of a reward program. The plan will include encapsulating gBERA, a liquid pledged token that automatically accumulates revenue for the holder. When you pledge BERA through Smilee, you receive gBERA, thereby earning additional income from MEV and Smilee incentives while maintaining liquidity.

 

Operation advice: Check the platform’s tutorials and wait for next week’s launch. In addition, the project has 3 NFT collectibles, and each collectibles will be given a token airdrop. All links can be found here.

 

Yeet

 

Yeet is a casino that combines a revenue-generating vault and a DeFi app, with all functions integrated into one platform.

 

Operation advice: It may be a bit late to enter NFTs, but the tokens for the project will be publicly available on February 7. Conditions include 100% issuance at TGE, an FDV of US$12.5 million, and 8% of the tokens will be publicly sold. Please Dyor.

 

Beramonium Chronicles

 

Beramonium Chronicles is a placement RPG game currently available on Testnet. The second season’s demo test is coming soon and $BERA tokens will be distributed as rewards after the end.

 

Action advice: A snapshot of NFT holders has been completed and they will receive a WL (white list) for the upcoming $BERAMO token sale on Ramen Finance in mid-February. You might consider participating in the public sales phase.

 

Junky Ursas

 

Junky Ursas is a complete casino that offers a variety of gambling games in which players can win or lose some $BERA or $HONEY. You know, everything in Berachain is about bears and honey! You can also provide liquidity and earn income through a flow pool.

 

Action advice: Try these games on the test network, so that when the project goes online on the main network, you will already know the rules and win rewards. Focus on the flow pool and provide liquidity for good returns. In addition, there will be an upcoming NFT casting event on February 7th, which will be held on Magic Eden. Holders will receive various privileges and airdrops of project tokens.

 

NFT Collection

 

The following are the collection series that will be launched in the first few days of the main network’s launch.

 

Bullas

 

Bullas is one of the few NFT collections on Berachain that have not yet been launched but have already sparked heated discussions. The confrontation between bull and bear markets.

 

Operational recommendation: Casting activity has started (GTD stage): Link

 

Steady Teddys

 

Steady Teddys is the most powerful NFT collection on Berachain after the official series. The collection’s avatars are used by many members of the Berachain ecosystem.

 

Operating suggestion: The casting date is unknown, wait for more information.

 

Ooga Booga Beras

 

Ooga Booga Beras is the last wave of the seventh rebirth and will be distributed to holders of the first six rebirth. In addition, there will be public casting activities. Previously, users who completed THJ tasks could receive discount coupons.

 

Operation advice: Focus on the project and wait for updates.

 

other interested

 

Wakalah: Constructed an RWA agreement related to Dubai real estate. Recently, it appears that the project has disappeared off the radar.

Beradoge: Nostalgic style, including the NFT collection of butt plug and potential drops. The project has multiple NFT collectibles: Beradoge Gen 1, ANGRY BIDIOTS and Beradoge Buttplugs. If you don’t mind losing money, you can buy these NFTs.

Block Chain: Layer2 blockchain built on Berachain by Harry PotterObamaSonic 10Inu. You can wait for it to launch and try making meme there.

Memeswap: Memeswap, nothing to add. There is an NFT collection here, but please check the floor prices.

Bera Horses (Tasty NFTs): GameFi RPG cross-platform game with riding bears. The game has an NFT collection of 4200 items. Need DYOR.

 

“Original link”