I’ve been keeping an eye on the progress of the Berachain network recently, and after the mainnet launch, there are some interesting things worth discussing.

To be honest, Berachain’s Proof of Liquidity mechanism truly breaks the deadlock of traditional PoS. Usually in PoS systems, users have to weigh two options: either lock up tokens to help secure the network, or invest in DeFi protocols to earn yields. Berachain’s approach is different—it makes capital that provides liquidity serve both network security and ecosystem rewards at the same time. The benefits of this design are obvious.

After looking at Berachain’s three-token architecture, I found that BERA is the gas token, BGT is the governance token (non-transferable, and can only be obtained by providing liquidity), and HONEY is a stablecoin. This design separates governance, utility, and value storage, and the logic is fairly clear. The demand for BERA comes from transaction fees, and as the ecosystem’s dApps grow, demand for BERA should remain sustained.

Based on current market data, BERA is quoted at around $0.37, with a 24-hour drop of -6.25%, and a circulating market cap of approximately $39.62M. This price level reflects the price discovery process in the early stage. Typically, when L1 tokens like this launch, there’s first a round of volatility, followed by a U-shaped rebound—early airdrop recipients sell off, while long-term liquidity providers begin accumulating.

I think whether Berachain can succeed mainly depends on whether TVL can keep growing. Under the PoL mechanism, network security is directly tied to liquidity depth. The deeper the liquidity, the lower the slippage, which makes the ecosystem more attractive, pulls in more capital, and creates a positive feedback loop. If this flywheel can get spinning, the long-term value support for BERA will be quite solid.

Another thing worth paying attention to is the burn rate of BGT. BGT can be burned 1:1 to be converted into BERA, and this conversion rate affects BERA’s circulating supply. If users are more inclined to hold BGT to secure governance influence rather than burn it to get BERA, that would suggest the market is positive about Berachain’s governance weighting. Conversely, it also works the other way around.

On the ecosystem development side, Berachain mainnet has already prepared hundreds of dApps, and these projects have been validated during the testnet phase. Integrating cross-chain communication protocols will be the next major milestone. At that point, assets from other chains can flow into Berachain’s PoL pools, which will be the real catalyst for the utility of BERA.

Overall, the Berachain experiment is definitely worth watching. The PoL mechanism genuinely innovates the relationship between consensus and liquidity, and the path for BERA’s value accumulation is also relatively clear—growth in the network drives transaction volume, which in turn increases demand for the gas token. Of course, in the early stage, risk management still has to be done well; the performance of a new mechanism like this needs time to be validated. If you’re interested, you can study Berachain’s market data and ecosystem project progress yourself.