Original author: Web3 Farmer Frank
The mainnet launch is imminent. How can you easily and worry-free capture the most BGT/BERA on Berachain?
With projects like Movement and Fuel gradually launching tokens, Berachain, designed with a PoL (Proof of Liquidity) mechanism, has become one of the few emerging public chains still attracting attention. However, this also constructs a 'high wall' for ordinary users to participate.
From how to participate in Boyco pre-deposits to selecting DAPPs, calculating yield strategies, and dynamically participating in governance voting, each step requires a high level of on-chain experience and operational capability, hindering the vast majority of users from maximizing their opportunities to capture BERA. Currently, there are almost no available simplification tools.
It is noteworthy that StakeStone has just launched the first one-stop Berachain liquidity provision product on the market, 'Berachain Vault,' specifically designed to simplify the process from Berachain pre-deposit activities to liquidity mining (Yield Farming) under the POL mechanism, aiming to help ordinary users easily participate in the Berachain ecosystem and seize early dividends through a one-stop nanny service.
Can this Vault product become a 'fast track' for retail investors to participate in Berachain? This article will discuss the potential and value of this product in lowering barriers and optimizing yield management, based on the emerging ecological needs represented by Berachain and the core design of StakeStone Berachain Vault.
Berachain: The 'flywheel' and 'high wall' of the POL mechanism.
When talking about Berachain, one cannot help but mention its core innovation point, the Proof-of-Liquidity (POL) mechanism, which requires users to provide liquidity to specific liquidity pools to earn corresponding BGT (a governance token that can be converted into BERA) rewards. The validator nodes entrusted by BGT holders will vote to determine which liquidity pools can receive more BGT emissions.
Does it feel familiar? If we replace Berachain with Curve, the POL mechanism with the ve model, and BGT with CRV, the operational logic of the two has striking similarities—on Curve, CRV holders receive veCRV with voting weight based on different lock-up durations. The obtained veCRV with voting weight can then be used to vote on which trading pair pools can receive subsequent emissions of CRV tokens. In other words, Berachain can simply be understood as a 'public chain version of Curve,' or a public chain operating based on the ve model.
Under the POL mechanism, the votes of validator nodes directly affect the emission and distribution of BGT, which will undoubtedly greatly stimulate ecological projects to actively create various liquidity incentive plans to compete for more BGT emissions, forming an ecosystem similar to 'bribery' on Curve.
However, Berachain has deepened this logic into the underlying architecture of the chain, forming a highly collaborative 'community of interests' among users, validator nodes, and DApps.
Ideally, the success or failure of validator nodes and DApps aligns interests. The former is incentivized to emit more BGT to DApps with high trading volume and strong activity. DApps will attract more users to participate in liquidity pools by increasing incentives for LP users, thereby generating more substantial returns for these high-transaction pools.
As more users flock to liquidity pools due to high returns, the governance support and liquidity scale of DApps further increase, thus striving for more BGT emission rights. This continuously expanding liquidity and governance weight not only enlarges the scale of the protocol but also attracts more users and funds into the ecosystem, gradually forming a strong positive flywheel.
But new questions arise. Once the Berachain mainnet goes live, how can ordinary users judge and choose where to provide liquidity to maximize their returns?
Whether it is the choice of validator nodes, the choice of ecological projects, or the choice of liquidity pools, each layer of choice faces the need for in-depth research on dozens of options. This undoubtedly creates a 'high wall' for participants.
Compared to Curve, the Berachain ecosystem undoubtedly needs a whole service-oriented ecological project to support it. Among them, the voting delegation platform Convex and the one-stop yield platform Yearn.finance will also be indispensable components in Berachain to address the core pain points of ordinary users. Typical user dilemmas include:
Information asymmetry: The yield and governance weight distribution of different DApps/liquidity pools are dynamically changing, and retail investors need to invest time and energy to track and research the dynamics of each project to make optimal choices.
Scale effect disadvantage: The liquidity contribution of a single retail investor is relatively small, making it difficult to compete with large capital projects or professional players in the process of competing for emission rights, and it is challenging to achieve scale effects through individual participation.
Operational complexity: Managing liquidity, participating in voting governance, and optimizing returns simultaneously poses a high barrier for ordinary users. A slight misstep may result in missing the best opportunities, such as failing to adjust voting directions in time or reallocating liquidity, which can directly affect overall returns.
In response to this demand, the cross-chain liquidity asset protocol StakeStone has launched the innovative 'Berachain Vault' designed specifically for the Berachain ecosystem, becoming the officially recommended one-stop Berachain mining service platform in the market.
StakeStone Berachain Vault: Deposit once, access two networks, multiple yields.
In the context of DeFi, a 'Vault' is an automated investment strategy aimed at simplifying the user operation experience. Users only need to deposit assets, and the protocol will automatically execute a series of financial transactions to maximize returns through various strategy combinations. However, while traditional Vault products provide convenient asset management, they have clear limitations in yield appreciation and liquidity release.
On one hand, the assets users deposit are typically non-yielding underlying native assets like ETH, which, despite having high market recognition, do not generate returns directly. On the other hand, liquidity is often locked after being deposited in the Vault, making it difficult to utilize further, which limits users' investment flexibility.
As stETH, pufETH, rzETH, and other interest-generating assets gradually become mainstream, Vault products have also evolved to support these assets with embedded yield logic, allowing them to capture not only basic yields like PoS staking but also further increase returns through liquidity mining and lending strategies.
That leads us to think, if based on this, the liquidity locked in the Vault could also be released in the form of Vault LP Tokens and allowed to participate in various DeFi yield scenarios, wouldn’t that maximize the overlay of multiple yields?
Taking the newly launched Berachain StakeStone Vault as an example, it is such an innovative product that not only inherits the asset management function of the Vault but also opens up all dimensions of multiple yields for users through the innovation of Vault + Vault LP Token.
Packaging LP assets of the Berachain Vault into yield-generating assets: Allowing users who want to participate in the Berachain ecosystem to deposit ETH, STONE, and other LP assets (yield-generating or non-yield-generating). After receiving the assets, the Vault will maximize returns by implementing liquidity mining and governance yield strategies under the POL mechanism, based on specific liquidity scenarios, and package them into yield-generating Vault LP Tokens (such as beraSTONE).
Furthermore, based on the packaged yield-generating assets, DeFi yield combinations can be implemented: Subsequently, the Vault LP Tokens can be used for various mature DeFi infrastructures on Ethereum to achieve a unique parallel universe structure, where the source of income is on Berachain and other chains while the financed activities occur on the Ethereum mainnet. This structure balances the high yields of new chains with the ample funds and mature DeFi infrastructure of the Ethereum mainnet, thus having the opportunity to become a new paradigm in the DeFi market.
In the design mechanism of Stakestone, the packaged Vault LP Token, like ETH, has top-level composability—capable of participating in Uniswap liquidity mining, Aave/Morpho collateral lending, and even being split into PT and YT in Pendle, further amplifying returns.
Therefore, if we delve deeper, the true innovation of the StakeStone Berachain Vault lies in linking the new ecosystem of Berachain with the Ethereum (or other EVM chains) mature network through the secondary utilization and deep release of an asset, forming a 'multi-layer yield' flywheel effect.
First layer yield, PoS yield on underlying interest-generating assets: Users can deposit ETH to obtain STONE and other cross-chain liquidity assets, covering the underlying PoS yield of ETH.
Second layer yield: POL yield in the Berachain ecosystem: Deposit STONE in the StakeStone Berachain Vault to obtain liquidity mining rewards under the POL mechanism in the Berachain ecosystem, and further package this layer of yield into a Vault LP Token (such as beraSTONE).
Third layer yield: Diversified DeFi strategy yield on Ethereum: The Vault LP Token in the form of beraSTONE can again increase earnings through leverage and liquidity mining strategies on Ethereum.
By combining the ecological characteristics of Berachain with the diverse on-chain yield scenarios of Ethereum, the StakeStone Berachain Vault achieves multiple reuse of an asset from emerging markets to mature ecosystems. It maximizes returns while thoroughly releasing liquidity potential, significantly enhancing the utilization efficiency of single assets and bringing higher capital liquidity and market recognition to the Berachain ecosystem.
Through these two assets, users can not only obtain high BERA yields under the Berachain liquidity proof (PoL) mechanism but also achieve yield overlay in mature ecosystems like the Ethereum mainnet. More importantly, users can also lock in future governance token STOs in advance by participating in StakeStone Vault.
During the event period, users can participate in a total reward pool of 15 million STOs by holding or using beraSTONE and beraSBTC, which includes 8.25 million Bera-Wave points rewards (awarded in points, settled at TGE) and an extra reward of 4 million STOs during the Boyco event; additionally, the first 10,000 early bird users (depositing ≥ 0.042 ETH or ≥ 0.0015 BTC) will also receive an additional incentive of 150 STOs each.
How can you earn Bera-Wave points? It is mainly divided into basic points rules + DeFi acceleration rewards (the recommended reward mechanism can be seen in the specific process below):
1. Basic points rules:
Holding 1 beraSTONE can earn 1 point per hour.
Holding 1 beraSBTC can earn 25 points per hour (points accumulate hourly without extra operations).
2. DeFi acceleration rewards—investing beraSTONE or beraSBTC into the following DeFi protocols can significantly increase the speed of points accumulation:
Providing liquidity on Uniswap: 5 times the basic points reward.
Precise liquidity range (± 0.1%): When the liquidity range is maintained within the current price ± 0.1%, you can receive 6 times the basic points reward (must remain active).
More protocol support: Future protocols like Pendle and Morpho will be launched to provide more reward opportunities and further enhance points earnings.
Overall, these rewards cover Berachain PoL, Boyco protocol, future ecological yields, and the future token airdrop of StakeStone, providing users with comprehensive participation opportunities in Berachain StakeStone, with a straightforward operating process.
1. Enter the StakeStone Vault interface, click 'Deposit' to enter the StakeStone Berachain Vault interface.
2. Connect wallet in the upper right corner.
3. Enter the invitation code to receive a 10% points boost reward (you can enter 91852), share your personal invitation code on Twitter to gain more rebate rewards (20%).
4. Deposit ETH/STONE/WETH to receive beraSTONE; deposit SBTC/WBTC/cbBTC/BTCB to receive beraSBTC (not yet launched). Holding beraSTONE or beraSBTC can earn points.
Only Ethereum mainnet assets are acceptable; if not, please click 'Switch Network' to switch to the Ethereum mainnet.
Select the asset to deposit on the left, enter the amount, and then click the 'Deposit' button to confirm in your wallet.
5. Participate in DeFi protocols to earn more rewards.
It is worth noting that the Berachain mainnet has not yet launched. Therefore, the initial operation of the StakeStone Berachain Vault will mainly target the Berachain pre-deposit protocol Boyco. The pre-deposit funds deployed in Boyco can not only receive direct BERA token rewards during the pre-deposit period, but will also be mapped 1:1 to the mainnet, laying the foundation for comprehensive access to the Berachain mainnet in the future.
Once the Berachain mainnet goes live, the core functionality of the Vault will switch to the POL system of the Berachain mainnet, providing users with one-stop Berachain liquidity mining services.
This incremental deployment path not only reduces technical and operational risks but also provides early users with the opportunity to participate in liquidity building for the Berachain ecosystem, allowing users to seize the liquidity advantage before the Berachain mainnet goes live and capture early liquidity mining rewards in the Boyco protocol.
Will StakeStone Vault be a new solution for emerging ecosystems on-chain?
From the perspective of Berachain alone, the Berachain StakeStone Vault provides the earliest Berachain pre-deposit channel in the market, making it the preferred tool for seizing dividends and maximizing returns.
Especially during this critical window period when the Berachain mainnet is about to launch and the mining mechanism is about to start, it can help ordinary users lock in early dividends of the new ecosystem without facing complex technical operations, allowing retail investors to fairly participate in the ecological returns of Berachain.
However, from a broader perspective of the emerging blockchain market, the significance of this product goes far beyond that. It not only provides Berachain with an innovative liquidity management solution but also offers a new development idea for the entire emerging ecosystem—packaging the yields of emerging ecosystems into yield-generating assets and connecting them with more mature mainnet infrastructures, thus becoming an important conduit for cross-ecosystem liquidity and yield management.
This mechanism is particularly suitable for emerging markets like Berachain and Movement, as they often face challenges such as insufficient liquidity and imperfect infrastructure during cold starts or early ecosystem development. The Vault products previously launched by StakeStone in collaboration with Plume have preliminarily validated the feasibility of this model, and this StakeStone Berachain Vault can be seen as a further deepening of this model.
Its core value lies in allowing users' single assets to be reused across multiple ecosystems, maximizing returns while releasing liquidity potential.
Lowering the participation threshold for emerging ecosystems: Users can capture ecological dividends through the Vault without complex operations, allowing more people to efficiently participate in local yield capture in ecosystems like Berachain, thus achieving broader user coverage.
Enhancing the attractiveness of emerging ecological assets: Through the packaging mechanism of Vault LP Tokens, traditionally locked assets are transformed into interest-generating assets on the Ethereum mainnet, which not only improves asset utilization efficiency but also enhances the attractiveness of emerging ecological assets.
Connecting mature networks to enable value flow: The yield-generating assets packaged by the Vault (beraSTONE) can seamlessly integrate with mature financial infrastructures like the Ethereum mainnet, further amplifying asset yields, while the Berachain ecosystem can also establish a deeper collaborative relationship with the global DeFi market.
This means that the StakeStone Vault product can not only capture local yields of emerging ecosystems but also package LP and other assets into yield-generating assets, giving them higher-dimensional financial attributes and integrating them into Ethereum and other more abundant and mature liquidity markets in a structured product form, thus improving capital efficiency.
The complexity of Berachain's POL mechanism and the initial asset management needs make it the best testing ground for the StakeStone Vault model. The Vault mechanism effectively addresses the liquidity bottleneck during Berachain's cold start phase and injects more application scenarios and yield paths into its ecological assets.
On one hand, the automated strategies within the Vault help users efficiently capture local yields from liquidity mining and governance rewards. On the other hand, the packaged yield-generating assets can participate in more mature ecological multi-level yield scenarios, such as Uniswap's liquidity mining, Aave's collateral lending, and even Pendle's yield splitting.
This mechanism not only enhances the compound ability of asset yields but also promotes the acceptance and recognition of emerging ecosystems like Berachain. As more emerging ecosystems develop, the demand for asset yields and capital efficiency from users will undoubtedly become increasingly complex. This means that the innovative mechanism of StakeStone Vault provides a dynamic adaptive asset management approach, allowing it to develop different asset types for yield overlay and secondary utilization based on any emerging ecosystem, further enhancing investment returns.
Within this framework, the StakeStone Vault is not only an efficient asset management tool but also an important bridge connecting emerging ecosystems with mainstream blockchain ecosystems.
Conclusion
Whether in traditional finance or the DeFi world, improving capital efficiency has always been the ultimate pursuit of all players.
For on-chain yield products, achieving maximum returns simply and safely, and making every dollar work to its fullest potential can also be seen as the eternal 'muse' of the market. From this perspective, the StakeStone Berachain Vault and its underlying Stakestone Vault product structure actually provide an interesting new paradigm for emerging public chains.
By using a Vault with multiple embedded yield paths as a bridge, it simplifies user participation thresholds, enhances the attraction of external funds, and packages the in-ecosystem yields into a liquidity-generating asset, thereby achieving seamless connections between local yield opportunities and the mainstream DeFi market.
In the future, whether this model can become a universal solution for emerging ecosystems or even grow into a multi-billion dollar narrative in on-chain finance remains to be seen. However, the vision and practice of StakeStone Berachain Vault may be one of the best paths for us to approach the answer.
