Written by: Web3 Farmer Frank
With the mainnet launch imminent, how to simply and easily capture the most BGT/BERA on Berachain?
With the launch of tokens like Movement and Fuel, Berachain, leveraging its on-chain liquidity 'flywheel' based on the PoL (Proof of Liquidity) mechanism, has become one of the few emerging public chains still receiving significant attention. However, this also constructs a 'high wall' for ordinary users:
From how to participate in the Boyco pre-deposit to choosing DAPPs, calculating yield strategies, and dynamically participating in governance voting, every step requires a high level of on-chain experience and operational ability, hindering most users from maximizing their opportunity to capture BERA. Currently, there is almost no available simplified tools.
It is worth noting that StakeStone has just launched the market's first one-stop Berachain liquidity provision product 'Berachain Vault', specifically designed to simplify the process from Berachain pre-deposit activities to liquidity mining under the POL mechanism, aiming to help ordinary users easily participate in the Berachain ecosystem and seize early dividends through a one-stop babysitting service.
Can this Vault product become a 'fast track' for retail investors to participate in Berachain? This article will explore the potential and value of this product in lowering barriers and optimizing yield management, starting from the emerging ecosystem demands represented by Berachain and combining it with the core design of StakeStone Berachain Vault.
Berachain: The 'Flywheel' and 'High Wall' of the POL Mechanism
Speaking of Berachain, it is naturally inseparable from its core innovation point, the Proof-of-Liquidity (POL) mechanism, which requires users to provide liquidity to specific liquidity pools to obtain corresponding BGT (a governance token that can be converted to BERA) rewards. The validation nodes commissioned by BGT holders vote on which liquidity pools can receive more BGT emissions.
Does it feel familiar? If we replace Berachain with Curve, swap the POL mechanism for the ve model, and change BGT to CRV, the operational logic of both has astonishing similarities—on Curve, CRV holders earn veCRV with voting weights based on different locking periods. The veCRV obtained can in turn vote on which trading pair pools can receive subsequent CRV token emissions. In other words, Berachain can be simply understood as a 'public chain version of Curve', or a public chain operating based on the ve model:
However, Berachain has delved this logic into the underlying architecture of the chain, forming a highly collaborative 'community of interests' among users, validating nodes, and DApps:
Ideally, the success or failure of validating nodes and DApps would align interests, with the former motivated to allocate more BGT emissions to DApps with high trading volumes and strong activity. DApps would then attract more users to participate in liquidity pools by enhancing incentives for LP users, leading to more considerable returns from these high-volume pools.
As more users flock to the liquidity pool for high returns, the governance support for DApps and the scale of liquidity are further enhanced, thereby securing more BGT emission rights. This continuously expanding liquidity and governance weight not only strengthens the protocol's scale but also attracts more users and funds into the ecosystem, gradually forming a strong positive flywheel.
Whether it's the choice of validating nodes, the selection of ecosystem projects, or the choice of liquidity pools, every layer of choice faces in-depth research across numerous options. This undoubtedly constitutes a 'high wall' for participants.
Compared to Curve, the Berachain ecosystem undoubtedly also needs a whole ecosystem of projects serving users to support it, among which the voting delegation platform Convex and the one-stop yield platform Yearn.finance will also be indispensable components to address the core pain points of ordinary users on Berachain.
Typical user dilemmas include:
Information asymmetry: The yield situation and governance weight distribution of different DApps/liquidity pools are dynamically changing. Retail investors need to invest time and effort to track and study the dynamics of each project to make optimal choices;
Scale effect disadvantages: The liquidity contribution of individual retail investors is relatively small, making it difficult to compete with projects or professional players with larger capital volumes in the process of competing for emission rights. It is challenging to achieve scale effects through individual participation;
Operational complexity: Managing liquidity, participating in governance voting, and optimizing returns simultaneously poses a high barrier for ordinary users. A small oversight may result in missed opportunities, such as failing to adjust voting direction or reallocate liquidity in time, which can directly impact overall returns;
In this demand context, the full-chain liquidity asset protocol StakeStone has launched an innovative product designed specifically for the Berachain ecosystem, Berachain Vault, which has become the earliest one-stop Berachain mining service platform officially recommended by Berachain.
StakeStone Berachain Vault: One deposit, two networks, multiple returns
In the context of DeFi, a 'Vault' is an automated investment strategy designed to simplify the user 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, traditional Vault products, while offering convenient asset management, have significant limitations in yield appreciation and liquidity release.
On one hand, the assets deposited by users are typically non-income-generating 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, thus limiting users' investment flexibility.
With the gradual mainstreaming of income-generating assets such as stETH, pufETH, and rzETH, Vault products have evolved to support these assets with embedded yield logic, enabling them to capture not only basic returns like PoS staking but also to further stack yields through liquidity mining, lending, and other combination strategies, maximizing users' investment returns.
So, if we extend this thought, what if the liquidity locked in the Vault could also be released in the form of Vault LP Token and allowed to participate in various DeFi yield scenarios? Wouldn't that maximize multi-layer yields to the extreme?
Taking the newly launched Berachain StakeStone Vault as an example, it is such an innovative product that not only continues the asset management functionalities of Vault but also opens up all dimensions of multi-layer returns for users through the innovation of Vault + Vault LP Token:
Encapsulating Berachain Vault's LP assets into income-generating assets: Allowing users who want to participate in the Berachain ecosystem to deposit ETH, STONE, and other LP assets (income-generating or non-income-generating). After receiving the assets, the Vault will utilize liquidity mining and governance yield strategies under the POL mechanism to maximize returns for the LP assets targeted at specific liquidity scenarios and encapsulate them into income-generating Vault LP Tokens (like beraSTONE).
Then, based on the encapsulated income-generating assets, DeFi yield combinations can be further performed: Subsequently, Vault LP Tokens can be used in various mature DeFi infrastructures on Ethereum to create a unique parallel universe structure, where the source of income is from Berachain and other chains, while the financing activities occur on the Ethereum mainnet. This structure balances the high returns of new chains and the abundant capital 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 encapsulated Vault LP Token, like ETH, has top-tier composability—capable of participating in Uniswap liquidity mining, Aave/Morpho collateral lending, or even splitting 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 an asset through secondary utilization and deep release, connecting the emerging ecosystem of Berachain with the mature networks of Ethereum (or other EVM chains), forming a 'multi-layered yield' flywheel effect:
First-layer yield, PoS returns from underlying income-generating assets: Users can deposit ETH to obtain STONE and other full-chain liquidity assets, covering the underlying PoS returns of ETH;
Second-layer yield, POL returns from the Berachain ecosystem: STONE deposited in the StakeStone Berachain Vault can earn liquidity mining rewards under the POL mechanism in the Berachain ecosystem, and further encapsulate this layer of yield into Vault LP Token (like beraSTONE);
Third-layer yield, diversified DeFi strategy returns on Ethereum: Vault LP Token in the form of beraSTONE can again increase income through leverage and liquidity mining strategies on Ethereum;
Thus, by integrating the ecological characteristics of Berachain with the diverse on-chain yield scenarios of Ethereum, StakeStone Berachain Vault achieves multiple reuses of an asset from emerging markets to mature ecosystems, maximizing returns while thoroughly releasing liquidity potential, significantly increasing the utilization efficiency of a single asset, and bringing higher capital liquidity and market recognition to the Berachain ecosystem.
Through these two assets, users can not only gain high BERA returns under Berachain’s Proof of Liquidity (PoL) mechanism, but also achieve yield stacking in mature ecosystems like the Ethereum mainnet. More importantly, users can lock in future governance tokens STO by participating in StakeStone Vault in advance:
During the event, users holding or using beraSTONE and beraSBTC can participate in a reward pool totaling 15 million STO, which includes 8.25 million Bera-Wave point rewards (awarded in points, settled at TGE) and 4 million additional STO rewards during the Boyco event; additionally, the first 10,000 early bird users (depositing ≥0.042 ETH or ≥0.0015 BTC) will receive an extra incentive of 150 STO each.
So how can one earn Bera-Wave points? It mainly consists of basic points rules + DeFi acceleration rewards (the recommendation reward mechanism is detailed in the following processes):
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, no extra operation required);
2. DeFi acceleration rewards—putting beraSTONE or beraSBTC into the following DeFi protocols can significantly increase points accumulation speed:
Uniswap provides liquidity: 5 times the basic points reward.
Precise liquidity range (±0.1%): When the liquidity range is maintained at the current price ±0.1%, a 6 times basic points reward can be obtained (must remain active).
More protocol support: Future protocols like Pendle and Morpho will be launched, providing more reward opportunities and further enhancing point returns.
Overall, these rewards cover Berachain PoL, Boyco protocol, future ecosystem yields, and future token airdrops from StakeStone, making it a 'one fish, multiple eats' opportunity that provides users with comprehensive opportunities to participate in Berachain & StakeStone, and the specific operation process is quite simple:
1. Enter the StakeStone Vault interface and click 'Deposit' to access 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 fill in 91852), share your personal invitation code on Twitter to receive more rebate rewards (20%)
4. Deposit ETH/STONE/WETH to receive beraSTONE; deposit SBTC/WBTC/cbBTC/BTCB to receive beraSBTC (not yet opened), 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, then click the 'Deposit' button and 'Confirm' in your wallet;
5. Participate in DeFi protocols to earn more rewards.
It is worth noting that the current Berachain has not yet launched its mainnet, so the initial operation of StakeStone Berachain Vault will mainly focus on the Berachain pre-deposit protocol Boyco. The pre-deposit funds deployed in Boyco not only earn direct BERA token rewards during the pre-deposit period but will also 1:1 map to the mainnet, laying the groundwork for future comprehensive access on the Berachain mainnet.
Once the Berachain mainnet is launched, the core functionality of Vault will switch to Berachain's mainnet POL system, providing users with a one-stop Berachain liquidity mining service.
This progressive deployment path not only reduces technical and operational risks but also provides early users with opportunities to participate in the liquidity construction of the Berachain ecosystem, enabling them to seize liquidity advantages before the Berachain mainnet is launched, capturing early liquidity mining rewards in the Boyco protocol.
Will StakeStone Vault be a new solution for on-chain emerging ecosystems?
From Berachain's perspective alone, the Berachain StakeStone Vault provides the earliest pre-deposit channel in the market, making it the first choice tool for seizing dividends and maximizing returns.
Especially at this critical window period with the Berachain mainnet about to launch and the mining mechanism about to start, it can help ordinary users secure early dividends from the new ecosystem without facing complex technical operations, allowing retail investors to fairly participate in Berachain's ecosystem returns.
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 an entirely new development idea for the entire emerging ecosystem—packaging the yields of emerging ecosystems into income-generating assets and connecting with more mature mainnet infrastructure, thereby 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 incomplete infrastructure during the cold start or early development phase. The Vault products previously launched 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 a user's asset to be reused across multiple ecosystems, maximizing returns while releasing liquidity potential:
Lower the participation threshold for emerging ecosystems: Users can seize ecological dividends through the Vault without complicated operations, allowing more people to efficiently participate in local yield capture from ecosystems like Berachain, thus achieving broader user coverage;
Enhance the attractiveness of emerging ecosystem assets: By transforming traditionally locked assets into liquidity and income-generating assets on the Ethereum mainnet through the Vault LP Token encapsulation mechanism, not only is asset utilization efficiency improved, but the attractiveness of emerging ecosystem assets is also enhanced;
Connect mature networks to achieve value flow: The income-generating assets (beraSTONE) encapsulated by the Vault can seamlessly connect to mature financial infrastructures like the Ethereum mainnet, further amplifying asset returns, while the Berachain ecosystem can establish deeper collaborative relationships with the global DeFi market;
This means that the StakeStone Vault product can not only capture local returns from emerging ecosystems but also encapsulate assets like LP into income-generating assets, giving them higher-dimensional financial attributes. This allows for structured products to access more abundant and mature liquidity markets like Ethereum, enhancing capital efficiency.
The complexity of Berachain's POL mechanism and the initial asset management needs at the startup stage make it the best testing ground for the StakeStone Vault model. The Vault mechanism not only effectively addresses the liquidity bottleneck faced by Berachain during its cold start phase but also injects more application scenarios and yield paths into its ecosystem assets:
On one hand, the automated strategies within the Vault help users efficiently capture local yields from liquidity mining, governance rewards, etc. On the other hand, the encapsulated income-generating assets can participate in more mature ecosystems' multi-layer yield scenarios, such as Uniswap's liquidity mining, Aave's collateral lending, or even Pendle's yield splitting.
This mechanism not only enhances the compounding ability of asset returns but also promotes the acceptance and recognition of emerging ecosystems like Berachain. As more and more emerging ecosystems develop, the complexity of users' needs for asset returns and capital efficiency will undoubtedly increase. This means that the innovative mechanism of StakeStone Vault actually provides a dynamically adaptable asset management method, enabling it to develop different types of asset yield stacking and secondary utilization based on any emerging ecosystem, further enhancing investment returns.
Within this framework, 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, enhancing capital efficiency has always been the ultimate pursuit of all players.
For on-chain yield products, how to achieve maximum returns simply and securely, maximizing the effectiveness of every dollar, 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 a fascinating new paradigm for emerging public chains:
By using a Vault with embedded multi-layer yield paths as a bridge, it simplifies user participation thresholds, enhances the attractiveness of external capital, and packages the ecosystem’s yields into a liquid income-generating asset. This achieves a seamless connection between local yield opportunities and the mainstream DeFi market, exploring a more ideal launch and long-term growth path for the entire emerging ecosystem.
In the future, whether this model can become a universal solution for emerging ecosystems, or even grow into a billion-dollar scale on-chain financial narrative, still requires time to test. However, the vision and practice of StakeStone Berachain Vault may be one of the best paths for us to approach the answer.