Berachain (BERA)

Overview

Berachain is a Layer 1 network built to make decentralized finance feel native from day one. The Berachain blockchain is EVM-identical, so apps and wallets that work on Ethereum can work here with little to no change. At the heart of the design is Proof‑of‑Liquidity (PoL), a model that ties blockchain security to real liquidity used in DeFi. Berachain’s native BERA token pays gas and powers staking, while a separate governance and rewards token (BGT) directs incentives across the ecosystem. A fully collateralized stablecoin, HONEY, supports everyday payments, trading, and DeFi strategies. Together, these parts aim to reduce liquidity fragmentation and align users, apps, and validators into one system. (docs.berachain.com)

BERA is now live on mainnet and is supported by a growing stack of native apps such as BEX (the chain’s DEX), Bend (lending), and Berps (perpetuals). Many traders watch the BERA price on exchanges, but beyond trading, the token is designed to fuel a long‑term, incentive‑driven economy for Berachain DeFi, NFTs, gaming, and more. (docs.bex.berachain.com)

History & Team

Berachain began as a small, bear‑themed NFT experiment in 2021 and grew into a full Layer 1 effort with a strong community. The pseudonymous founders are known as Smokey the Bera, Papa Bear, Homme (or Man) Bera, and Dev Bear. The project built momentum with public testnets (Artio/bArtio) through 2024 and moved to mainnet on February 6, 2025. (coinmarketcap.com)

The team raised capital in multiple rounds. In April 2023, Berachain closed a $42 million Series A led by Polychain Capital, followed by a $100 million Series B in April 2024 co‑led by Brevan Howard Digital (Abu Dhabi) and Framework Ventures, with participation from Polychain, Samsung Next, HashKey, and others. The Series B used a SAFT structure and supported global expansion. (coindesk.com)

Technology & How It Works

EVM‑identical design

Berachain’s execution layer is EVM‑identical, which means existing Ethereum tooling, smart contracts, and developer workflows can be used directly. Under the hood, Berachain uses BeaconKit, a modular consensus layer that packages CometBFT and interfaces cleanly with EVM execution clients. BeaconKit enables single‑slot finality and other performance benefits while keeping compatibility with Ethereum’s Engine API. (docs.berachain.com)

Proof‑of‑Liquidity (PoL)

PoL separates the token used for gas and staking (BERA) from the token used for governance and rewards (BGT). Validators stake BERA to secure the chain and produce blocks. When a validator proposes a block, they emit BGT, which is directed to “reward vaults” tied to productive on‑chain actions like providing liquidity or supplying assets to lending markets. Users who stake eligible receipt tokens in these vaults earn BGT, and they can delegate BGT to “boost” validators that support the dApps they care about. This creates a flywheel where security and liquidity reinforce each other. (docs.berachain.com)

Fees and dApp revenue sharing

BGT is more than voting power. Holders who boost validators receive a share of fees from core dApps (BEX and HONEY Swap) via a FeeCollector contract that auctions fees into WBERA and distributes them pro‑rata to BGT boosters. This ties user activity and protocol revenue back to governance participants. (docs.berachain.com)

Stablecoin architecture

HONEY is Berachain’s native, fully collateralized, USD‑soft‑pegged stablecoin. It can be minted by depositing approved collateral (initially USDC and PayPal’s PYUSD) into vaults through the HoneySwap dApp. HONEY introduces “Basket Mode,” which automatically switches redemption into a basket of collateral if any asset depegs. Fees from minting and redemption flow back to BGT holders. (docs.berachain.com)

Developer stack

Beyond PoL, Berachain invests in developer ergonomics. BeaconKit allows unmodified EVM clients to run on CometBFT, enabling EIP compatibility and modular extensions. Earlier work on the Polaris EVM framework helped shape this approach, and the current docs outline features like stateful precompiles to make cross‑module operations efficient. (docs.berachain.com)

Tokenomics & Utility

BERA, BGT, and HONEY at a glance

• BERA: gas and staking token. Used to pay transaction fees (which are burned) and to activate validators via staking. (docs.berachain.com)
• BGT: non‑transferable governance and rewards token earned through PoL‑eligible actions. It can be delegated to boost validators, used to vote, and redeemed one‑way 1:1 for BERA. (docs.berachain.com)
• HONEY: fully collateralized, USD‑soft‑pegged stablecoin minted against approved collateral and used across Berachain DeFi. (docs.berachain.com)

Supply and distribution

At genesis, total BERA supply was 500,000,000. The initial allocation outlined by Berachain includes 34.3% to investors, 16.8% to initial core contributors, and 48.9% to community allocations (with 15.8% for the initial airdrop, plus future community initiatives and ecosystem/R&D). All parties follow the same vesting: a one‑year cliff and then linear vesting over 24 months. The inflation schedule targets ~10% annually via BGT emissions, subject to governance. (docs.berachain.com)

Utility in everyday use

• Gas and security: Every on‑chain action pays fees in BERA; validators stake BERA to secure the network. (docs.berachain.com)
• Governance and incentives: BGT directs emissions and votes on proposals. Boosting validators with BGT shares dApp fees with boosters. (docs.berachain.com)
• Stable operations: HONEY supports trading, lending, and payments, with Basket Mode and fee flows designed for resilience. (docs.berachain.com)

Ecosystem & Use Cases

Native DeFi building blocks

• BEX (DEX): The native AMM, inspired by Balancer V2, supports weighted and stable pools and serves as the core spot exchange on the Berachain blockchain. It integrates deeply with PoL so LP activity can earn BGT via reward vaults. (docs.bex.berachain.com)
• Bend (lending): A non‑custodial market where users supply assets and borrow HONEY. Borrowers can earn BGT through PoL, showcasing how lending contributes to chain security and liquidity. (docs.bend.berachain.com)
• Berps (perpetuals): A native perps venue that settles exclusively in HONEY. Liquidity providers deposit HONEY into the vault and receive bHONEY; traders use HONEY for margin and PnL. (docs.berps.berachain.com)

Beyond DeFi: NFTs and gaming

Berachain’s culture started with NFTs, and that DNA carries forward. EVM‑identical support plus PoL incentives make it attractive for NFT marketplaces, gaming studios, and social dApps that want to plug into a base of liquidity on day one. Many teams deployed ahead of mainnet, with reports noting 200+ dApps ready at launch and billions in pre‑launch deposits that later flowed into the ecosystem. (coinmarketcap.com)

Cross‑chain access

The canonical LayerZero‑powered bridge connects popular source chains to Berachain. That bridge, together with reward vaults and BGT incentives, lowers the friction for new users and apps to move assets, mint HONEY, or provide liquidity on BEX or Bend. (docs.berachain.com)

Advantages & Challenges

Advantages

• EVM‑identical and developer‑friendly: Ethereum tools and clients work out of the box; BeaconKit provides single‑slot finality and modularity. (docs.berachain.com)
• PoL alignment: Splitting gas/staking (BERA) from governance/incentives (BGT) aligns validators, users, and dApps and routes fees back to BGT boosters. (docs.berachain.com)
• Native DeFi stack: BEX, Bend, Berps, HoneySwap, and governance primitives were available from launch, helping apps bootstrap liquidity quickly. (docs.bex.berachain.com)
• Backing and momentum: Significant funding and early exchange support sped up adoption and tooling. (finsmes.com)

Challenges

• New chain trade‑offs: A fresh Layer 1 must attract durable builders and users in a competitive field.
• Multi‑token mental model: BERA, BGT, and HONEY each have clear roles, but the flow between them can be complex for newcomers.
• Pseudonymous culture: The founders’ anonymity is part of crypto’s ethos, yet some institutions prefer fully doxxed teams. (coinmarketcap.com)

Where to Buy & Wallets

Where to buy BERA

If you’re looking where to buy BERA on centralized venues, several exchanges announced day‑one or early support during mainnet launch, including Bybit, MEXC, Bitrue, Upbit, and Bithumb. Users can also acquire BERA on‑chain through native DEX routes like BEX, or bridge assets first and swap once on Berachain. Always check the exchange’s supported networks and withdrawal routes before moving funds. (coinmarketcap.com)

On‑chain, the Berachain Bridge (powered by LayerZero) is the canonical route for moving assets to the network, and the project’s docs list exchange support in general terms for those who prefer CEX on‑ramps. Once bridged, users often swap into BERA or HONEY using BEX or HoneySwap. (docs.berachain.com)

Wallet setup

Any EVM wallet that allows custom RPCs can connect to Berachain. Popular options include MetaMask, Rabby, Coinbase Wallet, Brave Wallet, Frame, and Zerion. The official docs provide one‑click network add and manual RPC settings for both mainnet and testnet. If you plan to interact with PoL features or mint HONEY, make sure your wallet is set to the Berachain network first. (docs.berachain.com)

Regulatory & Compliance

General project posture

Berachain’s fundraising used a SAFT structure in 2024, a common framework in crypto venture deals. The company behind the chain is described in press as a Toronto‑based provider, and the round was co‑led by Framework Ventures and Brevan Howard Digital’s Abu Dhabi arm. As with most Layer 1s, no major regulator has formally categorized BERA in a unique way; exchanges that list BERA handle their own listing, custody, and regional compliance processes. (theblock.co)

“Berachain halal” and Shariah questions

Many readers ask if the BERA token and the Berachain blockchain are halal. There is no widely publicized, official fatwa or Shariah certification specifically for Berachain at this time. In general terms, some Muslims consider a blockchain or token potentially halal when its core use avoids interest (riba), excessive uncertainty (gharar), and gambling (maysir). Berachain’s PoL design centers on liquidity provision and governance rather than interest‑bearing deposits, while individual dApps vary. As a result, whether BERA is shariah compliant depends on how it’s used and on guidance from qualified scholars in your jurisdiction. The project’s documentation makes clear functional roles for BERA, BGT, and HONEY; users who seek a BERA shariah compliant approach typically focus on permitted use cases (payments, transfers, utility) and avoid dApps that conflict with their standards. (docs.berachain.com)

Jurisdictional notes

• Exchanges: Regional exchanges in South Korea (Upbit, Bithumb) and global platforms like Bybit and MEXC have supported BERA, indicating exchange‑level compliance reviews in those markets. (blockonomi.com)
• Token structure: BGT is non‑transferable and earned via PoL, and it can be burned 1:1 for BERA. This separation between utility (gas/staking) and governance/rewards is a notable structural feature for policy observers reviewing Berachain tokenomics. (docs.berachain.com)

Future Outlook

Berachain’s roadmap centers on deepening the PoL economy, improving core dApps, and expanding the developer stack. On the DEX side, the BEX team has signaled plans to align with newer Balancer codebases for future upgrades, while maintaining weighted and stable pool flexibility. For developers, BeaconKit’s focus on single‑slot finality, Engine‑API compatibility, and modular middleware opens doors for more performant apps and even custom Layer 2 designs anchored by the same toolkit. (docs.bex.berachain.com)

Ecosystem‑wise, Berachain tokenomics earmark a large portion to community initiatives and ecosystem/R&D. That budget, together with fee‑sharing to BGT boosters, can help bootstrap builders in areas like Berachain DeFi, NFTs, and gaming. The canonical bridge and EVM‑identical design make onboarding straightforward for teams migrating from Ethereum or other EVM chains. As liquidity and BGT governance mature, expect more apps to tap reward vaults to route incentives, and more users to use BGT boosting as a way to support the projects they value. (docs.berachain.com)

Summary

Berachain combines an EVM‑identical execution layer with a novel Proof‑of‑Liquidity economy. The BERA token handles gas and staking; BGT steers incentives and governance; and HONEY brings a fully collateralized stablecoin to everyday on‑chain use. With native products like BEX, Bend, and Berps, and a design that returns dApp fees to engaged governors, the Berachain blockchain aims to align users, validators, and builders at the base layer. Backed by major investors and now live on mainnet, its next phase will be shaped by how well PoL scales across real use cases—from trading and lending to NFTs and gaming—while communities watch the BERA price and token flows inside this new, incentive‑rich system. (docs.bex.berachain.com)