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TGE is coming soon, let’s talk about StakeStone Berachain Vault’s BERA “Gold Rush Guide”

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Reprinted from chaincatcher

12/26/2024·4M

Written by: Web3 Farmer Frank

The mainnet is about to be launched. How to capture the most BGT/BERA on Berachain easily and worry-free?

With the successive issuance of coins such as Movement and Fuel, Berachain has become one of the few emerging public chains that still attracts attention with its on-chain liquidity "flywheel" designed based on the PoL (Proof of Liquidity) mechanism. However, for ordinary users, this At the same time, a "high wall" of participation was also built:

From how to participate in Boyco pre-deposits to selecting DAPP, calculating income strategies, and dynamic participation in governance voting, each step puts forward higher requirements for on-chain experience and operational capabilities, hindering the vast majority of users from maximizing the opportunity to capture BERA. There are also few simplification tools currently available.

It is worth noting that StakeStone has just launched the first one-stop Berachain liquidity provision product "Berachain Vault" on the market, which is designed to simplify the process from Berachain pre-deposit activities to liquidity mining (Yield Farming) under the POL mechanism. Through one-stop nanny service, ordinary users can easily participate in the Berachain ecosystem and seize early dividends.

So can this Vault product become a "through train" for retail investors to participate in Berachain? This article will start from the emerging ecological needs represented by Berachain, combined with the core design of StakeStone Berachain Vault, to explore the potential and value of this product in lowering the threshold and optimizing revenue management.

Berachain: The "flywheel" and "high wall" of the POL mechanism

When talking about Berachain, it is naturally inseparable from its core innovation Proof-of-Liquidity (POL) mechanism, that is, users must provide liquidity to a specific liquidity pool in order to obtain the corresponding BGT (a governance that can be converted into BERA) token) reward. Which liquidity pools can obtain more BGT emissions are voted by the verification nodes entrusted by BGT holders.

Does it look familiar? If we replace Berachain with Curve, replace the POL mechanism with the ve model, and replace BGT with CRV, the operating logic of the two is surprisingly similar - on Curve, CRV holders obtain rewards with different locking durations. veCRV of voting weight. The obtained veCRV with voting weight can be reversely used to vote to determine which trading pair pools can share the subsequent emissions of CRV tokens. In other words, Berachain can actually be simply understood as a "public chain version of Curve", or a public chain operating based on the ve model:

Under the POL mechanism, the voting of verification nodes directly affects the emission and distribution of BGT. This will undoubtedly greatly stimulate ecological projects to actively create various liquidity incentive plans to actively strive for more BGT emissions, forming a "bribery" ecosystem similar to Curve. .

It’s just that Berachain has integrated this logic into the underlying structure of the chain, forming a highly collaborative “community of interests” between users, verification nodes, and DApps:

Ideally, the success of the verification node and the DApp have the same interests. The former has the motivation to discharge more BGT to DApps with high transaction volume and strong activity, and the DApp will attract more by increasing the incentive returns for LP users. Users participate in liquidity pools, allowing these high-volume pools to generate more substantial returns.

As more users flood into the liquidity pool due to high returns, DApp's governance support and liquidity scale are further improved, thereby gaining more BGT emission rights. This continued expansion of liquidity and governance weight not only increases the scale of the protocol , which in turn attracts more users and funds into the ecosystem, gradually forming a strong positive flywheel.

But new questions also arise. Once the Berachain mainnet is online, how should ordinary users judge and choose where to provide liquidity to maximize their profits?

Regardless of the selection of verification nodes, ecological projects, and liquidity pools, each layer of selection requires in-depth research on more than a dozen options. This undoubtedly constitutes a "high wall" for participants.

Compared with Curve, the Berachain ecosystem undoubtedly needs the support of an entire ecological project that serves users. Among them, the voting delegation platform Convex and the one-stop revenue platform Yearn.finance will also be indispensable components on Berachain to solve the core pain points of ordinary users.

Typical user dilemmas include:

  • Information asymmetry: The income and governance weight distribution of different DApps/liquidity pools are in dynamic change, and retail investors need to invest energy and time in tracking and studying the dynamics of each project in order to make the optimal choice;
  • Disadvantage of scale effect: the liquidity contribution of a single retail investor is small, and it is difficult to compete with project parties or professional players with large capital in the process of competition for emission rights, and it is difficult to obtain scale effect through individual participation;
  • Operational complexity: To manage liquidity, participate in voting governance and optimize returns at the same time, the threshold is high for ordinary users. If you are not careful, you may miss the best opportunities, such as failing to adjust the voting direction or reallocate liquidity in time. All may directly affect overall income;

Under this demand, StakeStone, a full-chain liquid asset protocol, launched Berachain Vault, an innovative product specially designed for the Berachain ecosystem, becoming the earliest one-stop Berachain mining service platform in the market officially launched by Berachain.

StakeStone Berachain Vault: One Deposit, Two Networks, Multiple Benefits

In the context of DeFi, "Vault" is an automated investment strategy designed to simplify the user's operating experience. Users only need to deposit assets, and the protocol can automatically execute a series of financial transactions and maximize returns through various strategy combinations. , however, although traditional Vault products provide convenient asset management, they have obvious limitations in income appreciation and liquidity release.

On the one hand, users usually deposit non-interest-bearing underlying native assets such as ETH. Although they have high market recognition, they cannot directly generate income; on the other hand, liquidity is often locked after depositing into Vault, making it difficult to further utilize it, which limits users. investment flexibility.

As interest-bearing assets such as stETH, pufETH, and rzETH gradually become mainstream, Vault products have also evolved and begun to support these assets with embedded income logic, allowing them to not only capture basic income such as PoS staking, but also further mine through liquidity , lending and other combined strategies to superimpose returns to maximize the user’s return on investment.

Thinking about it further, if on this basis, the liquidity locked in Vault is also released in the form of Valut LP Token, and allowed to participate in various DeFi income scenarios, wouldn 't it be possible to superimpose multiple layers of income to the extreme?

Take the Berachain StakeStone Vault launched this time as an example. It is such an innovative product that not only continues the asset management function of Vault, but also completely opens up all dimensions of multiple benefits for users through the innovation of Vault+Vault LP Token:

  • Encapsulate Berachain Vault 's LP assets into interest-bearing assets: Allow users who want to participate in the Berachain ecological nuggets to deposit ETH, STONE and other LP assets (interest-bearing or non-interest-bearing). After Vault receives the assets, it will mine through liquidity under the POL mechanism and governance income strategies, targeting LP assets to specific liquidity scenarios to maximize returns, and based on this, encapsulating them into Vault LP Tokens (such as beraSTONE) with interest-earning capabilities.
  • Then carry out DeFi income combination based on the encapsulated interest-generating assets: Then, Vault LP Token can be used in various mature DeFi infrastructure on Ethereum to realize a new and unique parallel universe structure, that is: the source of interest-generating is in Berachain, etc. Funding activities for interest-generating activities on other chains occur on the Ethereum mainnet. This structure takes into account the high returns of the new chain, the abundant funds of the Ethereum mainnet, and the mature DeFi infrastructure. It has the opportunity to become a new paradigm in the DeFi market.

In the design mechanism of Stakestone, the encapsulated Vault LP Token has the same top-level composability as ETH - it can participate in Uniswap liquidity mining, Aave/Morpho mortgage lending, and even be split into PT and YT in Pendle, etc. , further amplifying returns.

So if you look closely, the real innovation of StakeStone Berachain Vault is that through secondary utilization and in-depth release of an asset, it links the emerging ecosystem of Berachain and the mature network of Ethereum (or other EVM chains), forming "multi-level benefits" "The flywheel effect:

  • The first layer of income, the PoS income of the underlying interest-earning assets: users can deposit ETH to obtain full-chain liquid assets such as STONE, covering the underlying PoS income of ETH;
  • The second layer of income, the POL income of the Berachain ecosystem: STONE is deposited into the StakeStone Berachain Vault, and the liquidity mining income under the POL mechanism is obtained in the Berachain ecosystem, and this layer of income is further encapsulated into Vault LP Token (such as beraSTONE);
  • The third layer of income, income from diversified DeFi strategies on Ethereum: Vault LP Token in the form of beraSTONE can increase income again through strategies such as leverage and liquidity mining on Ethereum;

In this way, by combining the ecological characteristics of Berachain and the diverse on-chain revenue scenarios of Ethereum, StakeStone Berachain Vault realizes the multiple reuse of an asset from emerging markets to mature ecology, maximizing revenue while also completely releasing liquidity potential. , greatly improving the utilization efficiency of a single asset, and also bringing higher capital liquidity and market recognition to the Berachain ecosystem.

Through these two assets, users can not only obtain high BERA income under the Berachain Proof of Liquidity (PoL) mechanism, but also achieve income stacking in mature ecosystems such as the Ethereum main network. More importantly, users can also participate in StakeStone Vault locks the future governance token STO in advance:

During the event, users can participate in a total of 15 million STO reward pools by holding or using beraSTONE and beraSBTC, including 8.25 million Bera-Wave point rewards (issued in the form of points, TGE settlement) and 4 million during the Boyco event STO additional rewards; in addition, the first 10,000 early bird users (deposit ≥0.042 ETH or ≥0.0015 BTC) will also receive an additional incentive of 150 STO per person.

So how do you earn Bera-Wave points? It is mainly divided into two parts: basic points rules + DeFi acceleration rewards (the recommendation reward mechanism can be found 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 are accumulated hourly, no additional operations are required);

2.DeFi Acceleration Rewards - Investing beraSTONE or beraSBTC into the following DeFi protocols can significantly increase the speed of points accumulation:

  • Uniswap provides liquidity: 5x reward of base points.
  • Precise liquidity range (±0.1%): When the liquidity range remains within ±0.1% of the current price, you can receive 6 times the base points as a reward (continuous activity is required).
  • More protocol support: Pendle, Morpho and other protocols will be launched in the future to provide more reward opportunities and further increase points income.

Generally speaking, these rewards cover Berachain PoL, Boyco protocol and future ecological benefits, as well as StakeStone 's future token airdrops. It can be said that "one fish eats more", providing users with a full range of Berachain & StakeStone participation opportunities. Specific operations The process is also very simple:

1. Enter the StakeStone Vault interface and click "Deposit" to enter the StakeStone Berachain Vault interface.

2. Connect the wallet in the upper right corner.

3. Enter the invitation code to get 10% points boost reward (can fill in 91852), share your personal invitation code on Twitter, and get more rebate rewards (20%)

4. Deposit ETH/STONE/WETH to get beraSTONE; deposit SBTC/WBTC/cbBTC/BTCB to get beraSBTC (not yet opened). Holding beraSTONE or beraSBTC can earn points.

  • Only Ethereum mainnet assets are available. If not, please click "Switch Network" to switch to the Ethereum mainnet;
  • Select the asset to be deposited on the left, enter the amount, then click the "Deposit" button and "Confirm" in the wallet;

5. Participate in DeFi protocols to get more rewards.

It is worth noting that Berachain has not yet been launched on the main network, so the initial operation of StakeStone Berachain Vault will mainly be for Berachain pre-deposit protocol Boyco. In addition to receiving direct BERA token rewards during the pre-deposit period, the pre-deposit funds deployed in Boyco will also be mapped 1:1 to the main network, laying the foundation for full access to the Berachain main network in the future.

Once the Berachain mainnet is online, the core functions of Vault will be switched to the POL system of the Berachain mainnet, providing users with one-stop Berachain liquidity mining services.

This progressive deployment path not only reduces technical and operational risks, but also provides early users with the opportunity to participate in the construction of Berachain ecological liquidity, allowing users to seize liquidity opportunities before the Berachain mainnet is launched. In the Boyco protocol Capture early liquidity mining benefits.

Will StakeStone Vault be a new solution to the emerging ecosystem on the

chain?

From the perspective of Berachain alone, Berachain StakeStone Vault provides the earliest Berachain pre-deposit channel in the market and is the first choice tool to seize dividends and maximize returns.

Especially during the critical window period when the Berachain mainnet is about to go online and the mining mechanism is about to start, it can help ordinary users take the lead in locking in the early dividends of the new ecosystem without having to face complex technical operations, allowing retail investors to participate fairly in the Berachain ecosystem. income.

However, from the perspective of the broader emerging blockchain market, the significance of this product is far more than that. It not only provides Berachain with an innovative liquidity management solution, but also provides a new development idea for the entire emerging ecosystem— —Encapsulate the income of the emerging ecology into interest-bearing assets and connect it with the more mature main network infrastructure, thus becoming an important channel for cross-ecological liquidity and income management.

This mechanism is particularly suitable for emerging markets such as Berachain and Movement, because they often face challenges such as insufficient liquidity and imperfect infrastructure during cold starts or early stages of ecological development. The Vault product launched by StakeStone in cooperation with Plume and others has initially verified this. The feasibility of this model, this StakeStone Berachain Vault can be regarded as a further deepening of this model.

Its core value lies in allowing a user's assets to be reused in multiple ecosystems, maximizing returns while releasing liquidity potential:

  • Lower the threshold for participation in emerging ecosystems: Users can seize ecological dividends through Vault without complicated operations, allowing more people to efficiently participate in local revenue capture in ecosystems such as Berachain, thereby achieving wider user coverage;
  • Enhance the attractiveness of emerging ecological assets: Through the encapsulation mechanism of Vault LP Token, traditionally locked assets are transformed into Ethereum mainnet interest-bearing assets with liquidity and profitability, which not only improves the efficiency of asset utilization, but also enhances the emerging ecosystem. the attractiveness of the asset;
  • Connect to mature networks to realize value flow: Vault’s encapsulated interest-bearing assets (beraSTONE) can be seamlessly connected to mature financial infrastructure such as the Ethereum main network, and asset returns are further amplified. At the same time, the Berachain ecosystem can also establish a deeper connection with the global DeFi market. synergistic relationship;

This means that Stakestone Vault products can not only capture the local income of the emerging ecology, but also encapsulate LP and other assets into interest-bearing assets, giving them higher-dimensional financial attributes and accessing Ethereum and other products in the form of structured products. A more sufficient and mature liquidity market will improve capital efficiency.

The complexity of Berachain's POL mechanism and the initial asset management requirements make it the best test field for testing the StakeStone Vault model. The Vault mechanism not only effectively solves Berachain's liquidity bottleneck in the cold start stage, but also injects ecological assets into its ecosystem. More application scenarios and revenue paths:

On the one hand, the automated strategies within Vault help users efficiently capture local benefits such as liquidity mining and governance rewards. On the other hand, encapsulated interest-bearing assets can participate in multi-level profit scenarios in more mature ecosystems, such as Uniswap’s liquidity mining. Mines, Aave’s mortgage lending, and even Pendle’s revenue splits, etc.

This mechanism not only improves the compounding ability of asset returns, but also promotes the acceptance and recognition of emerging ecosystems such as Berachain. As more and more emerging ecosystems become available, users will undoubtedly have demand for the asset returns and capital efficiency of emerging ecosystems. will become more and more complex, which means that the innovative mechanism of StakeStone Vault actually provides a dynamically adaptive asset management method, which enables it to develop the income superposition and secondary utilization of different asset types based on any emerging ecosystem, further improving investment returns. .

Under such a framework, StakeStone Vault is not only an efficient asset management tool, but also an important bridge between the emerging ecosystem and the mainstream blockchain ecosystem.

Conclusion

Whether in the traditional finance or DeFi world, improving capital efficiency is always the ultimate pursuit of all players.

For on-chain revenue-generating products, how to maximize revenue simply and safely, and maximize the effectiveness of every dollar, can also be regarded as the eternal "muse" of the market. From this perspective, StakeStone Berachain Vault and the Stakestone Vault product structure behind it actually provide an interesting new paradigm for emerging public chains:

By using Vault with built-in multi-layered revenue paths as a bridge, it simplifies user participation thresholds and enhances the attractiveness to foreign funds, while packaging the revenue within the ecosystem into a liquid interest-bearing asset, thereby realizing local revenue opportunities and The seamless connection of the DeFi market on mainstream chains explores a more ideal start-up and long-term growth path for the entire emerging ecosystem.

In the future, whether this model can become a universal solution for the emerging ecosystem, or even grow into a tens-billion-dollar on-chain financial narrative, still needs time to test, but the vision and practice of StakeStone Berachain Vault may be the answer we are close to. One of the best paths.

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