Berachain Releases White Paper: Adopting Dual-Token Model and PoL Incentive Mechanism

The Berachain Foundation has released its network white paper. According to the white paper, Berachain is an EVM-compatible Layer 1 blockchain designed to create value for applications, aiming to align the value of the network with the value of the applications built on it through the Proof of Liquidity (PoL) mechanism. Through its core innovation of Proof of Liquidity (PoL), it changes the traditional Proof of Stake (PoS) Incentive Mechanism, linking validator rewards to application needs on the network.

 

In terms of economic models, BERA is used for staking and transactions, while BGT is used for governance and rewards. The publishing of BGT is closely related to the staking of BERA, and BERA can be exchanged by burning BGT. In addition, the PoL mechanism controls inflation by adjusting the Boost of validators, ensuring the security and decentralization of the network.