Original author: dt, DODO Research
Berachain has once again sparked discussion among the crypto community due to its recent launch of its public testnet Artio. The extremely cult-style community has made it attract the attention of Degen people in the circle since its launch at the end of 2021. April 2023 On the 20th, it was announced that Polychain led the investment and OKX participated in the huge 42 M financing, which attracted more people in the industry to pay attention to this unique public chain project. With the public testing of the test network, the main network is expected to be not far away. will be online in the future.
This week Dr.DODO will take you to understand the team background, public chain mechanism and ecological projects worthy of attention. These three aspects will help you understand this new public chain that is about to be launched.
Team background
On April 20, 2023, Berachain disclosed their 42.069M Series A financing, which was led by Polychain Capital and participated by Hack VC and OKX Ventures. From this financing amount and date, it is not difficult to see the Cult attribute of the Bera team. The four anonymous The founders (Smokey the Bera, Papa Bear, Homme Bera and Dev Bear) claim to be crypto-native Degen, and the name Bera is deliberately misspelled as Bear in order to pay tribute to one of the most famous words in the crypto circle, HODL.
Speaking of team background, we have to mention their relationship with Olympus DAO. According to Berachain co-founder Smokey, they are a group of early OHM investors who met in the Olympus DAO community. At first, it was just an NFT among community members. Project - Bong Bears and pays homage to OHMs Ponzi mechanism, creating the first rebase NFT collection and spawning multiple new collections - Boo Bears, Baby Bears, Band Bears and Bit Bears.
Then, as the currency market collapsed, this group of Defi enthusiasts felt inspired by Olympus DAOs POL (Protocol Owned Liquidity) concept and Terras native stablecoin concept, and decided to design an L1 public chain by drawing on these previously successful Defi projects. its advantages and avoid its disadvantages, so Berachain was born.
Source: https://opensea.io/collection/bongbears
Public chain mechanism
Berachain is an EVM public chain built on Polaris EVM using Proof of Liquidity and running on the Cosmos SDK.
As mentioned above, the Berachain team highly appreciates the Olympus DAO Protocol Owned Liquidity mechanism, so there is Berachain’s innovative Proof of Liquidity liquidity proof mechanism. According to Smokey’s description, after experiencing many Defi projects, they learned that liquidity is The most important factor in the success of a project, so how to bring the liquidity of many blue-chip tokens into Berachain as much as possible is the first direction the team is thinking about.
In the liquidity proof mechanism, users must transfer their blue-chip tokens such as BTC, ETH, etc. to BEX (Berachain’s native DEX) to form a liquidity LP to obtain the protocol governance token $BGT, and the $BGT token will be responsible for the management of nodes on the chain. Verification mechanism and voting governance function (for example, it can decide the issuance of LP pool token rewards, etc.).
Source: twitter
Next, we will introduce Berachain’s three-coin model. Due to the non-transferable design of $BGT tokens, the Gas Token of users on the chain will be $BERA obtained by one-way burning of $BGT 1:1, and it draws on the design of Terra’s native stablecoin. , users can use the Honey Dapp to over-collateralize $BGT and print out the native stable currency $Honey.
$BGT: Liquidity collateral proof token and used for on-chain verification and governance.
$Bera: Gas Token obtained from $BGT 1: 1 one-way burning.
$Honey: Native over-collateralized stablecoin.
Not only referring to Olympus DAO and Terra, Berachain also draws on the concept of Cantos public Defi infrastructure and will launch native DEX, native lending, and a perpetual contract platform on the native chain, and the income generated by these public chain native protocols will be distributed to $BGT Holders, even its native DEX has also learned from the mechanism of Solidly ve 33 voting bribery to determine pool placement. Node validators will be able to vote to determine the token incentive placement of the native DEX LP pool and receive bribery rewards.
This combination of punches is expected to create a flywheel effect for Berachain, attracting more users to provide liquidity to obtain the protocol token $BGT.
Source: twitter
ecological project
the honey jar
When it comes to ecology, we have to mention the honey jar (THJ). THJ introduces itself as the entrance to the Berachain ecology and occupies a considerable voice in the community. It is responsible for educating users about the introduction of Berachain, as well as ecological project incubation and various protocols. For matchmaking work, THJ can simply be regarded as the BD department of Berachain. Currently, THJ has launched Honey Comb NFT, but has not promised any specific role. In addition, you can also pay more attention to the projects mentioned on THJ’s Chinese Twitter and founder Jani’s Twitter.
Beradrome
Another one to introduce is Beradrome. Beradrome is a ve 33 DEX on Berachain and will focus on the Restaking liquidity market. The team launched its Tour de Berance NFT series as early as a year ago and conducted multiple testnet tests. , and its NFT also clearly stated that it will receive an airdrop of the governance token $Bero when the mainnet is launched based on its rarity.
Sudoswap
Sudoswap is an NFT liquidity market currently deployed on the mainnet. Its innovation focusing on liquidity coincides with the central idea of Berachain. It has also announced early that it will deploy the protocol after the Berachain mainnet goes online. Berachain is expected to open after it is officially launched. Blue Chip NFT Bridge connects many NFTs on the main network to Berachain and provides incentives, and Sudo is the first group to announce that it will join Berachains NFT market.
Redacted Cartel
Redacted Cartel, incubated by the New Order team, is a Defi revenue protocol with multiple sub-products covering bribery market transactions and LSD liquidity staking. It has also announced earlier that it will deploy new projects on Berachain, but there are currently no updates. Detailed message. Since Berachain has a built-in voting bribery mechanism, it can be expected that ecological projects such as Redacted, which earns money from the Defi bribery market, are expected to show their talents on Berachain.
Algebra
Algebra is a back-end product that outsources trading functions. It mainly sells DEX back-end contracts to any project party interested in doing DEX. By using its services, there is no need to rewrite the contract yourself. Currently, its product Algebra Integral V4 has been launched on Berachain. Test network testing, V4 function will have hooks/plugins function, and welcomes all project parties interested in deploying DEX on Berachain to cooperate with it, and has been welcomed by Bera Lianchuang Smokey.
The above five projects mainly introduce which projects have investment targets and have actual products before the main network of Bear Chain is launched. After the main network is launched, more protocols will be launched and deployed. You can pay more attention to them.
Authors opinion
Compared with the traditional PoS mechanism, the author believes that the PoL mechanism is superior in terms of liquidity and security. The PoL mechanism launched by Xiong Chain can not only create a flywheel effect and increase TVL, but also release many existing PoS native tokens. Liquidity, and by limiting the LP method, ensure that only blue-chip tokens can obtain $BGT and protect security.
Of course, technology is only one of the reasons why Bear Chain is so popular. It is more about the Cult and Meme attributes of its community. The community is a very important factor in the blockchain world. Projects that value the community will be able to obtain a large number of volunteers. Loyal fans who advertise for you can invisibly give the project more power to sustain and go further in the currency circle, a place that speculates on the new rather than the old.
Overall, I am quite optimistic about the development of Bera in 2024. Its team is very good at hyping expectations and designing the Ponzi model. The overall structure of the public chain is also different from other bad L2 public chains. At present, it has never been Bera. The teams NFT or its ecological projects NFT / Token will bring a lot of wealth effects to users. After the mainnet is launched, they can participate in various new projects. In addition, the current Berachain test network also has launched test tasks. If there are In your spare time, you may wish to simply participate with your fingers.
