Berachain Set to Launch Mainnet on February 6, Introducing “Proof of Liquidity” Consensus

Berachain Set to Launch Mainnet on February 6

The highly anticipated Layer 1 blockchain Berachain is set to officially launch its mainnet in just two days, as confirmed by the Berachain Foundation.

“Berachain’s mainnet will go live on February 6, 2025,” the foundation announced on X this past Tuesday. “The Token Generation Event (TGE) will take place simultaneously with the mainnet launch. Tokenomics details and checker will be released tomorrow.”

What is Berachain?

Built on the Cosmos SDK, Berachain is an Ethereum Virtual Machine (EVM)-compatible Layer 1 blockchain that introduces an innovative “proof of liquidity“ consensus mechanism. This system, an evolution of delegated proof of stake (DPoS), is designed to enhance security and liquidity alignment by requiring users to provide liquidity before participating in network staking.

Following its public testnet phase, Artio, which launched in January 2024, Berachain is now gearing up for its long-awaited mainnet debut. Initially scheduled for Q2 2024, the launch will introduce integration with custodians, cross-chain messaging and bridging protocols, and data availability solutions.

A Crypto Ecosystem with a Bear-Themed Identity

Berachain’s branding and community identity stem from its pseudonymous co-founders—known as Homme Bera, Dev Bear, Papa Bear, and Smokey the Bera. The team first gained recognition through their NFT project, “Bong Bears,” before expanding into broader blockchain development. Since its inception in late 2021, Berachain has evolved into one of the most unique projects in the Web3 space.

Backed by Major Investors

The project has secured significant funding from leading venture capital firms. In April 2024, Berachain announced a $100 million Series B funding round led by Framework Ventures and Brevan Howard Digital (Abu Dhabi branch). This followed a $42 million private token sale in April 2023, which was led by Polychain Capital.

How Berachain’s “Proof of Liquidity” Works

Unlike traditional proof of stake (PoS) blockchains—where users must decide between staking assets to secure the network or deploying capital into DeFi liquidity pools—Berachain’s proof of liquidity model requires users to first contribute liquidity before staking.

At the heart of the network lies a tri-token system designed to incentivize security and liquidity:

1. BGT (Berachain Governance Token) – Earned by providing liquidity to on-chain DeFi protocols (e.g., a native DEX or a stablecoin lending platform). BGT is non-transferable (soulbound) and cannot be bought, only earned.
2. Bera (Gas Token) – BGT can be burned in a one-way conversion to generate Berachain’s native gas token, bera.
3. Honey (Stablecoin) – Users who delegate BGT to validators earn rewards in honey, Berachain’s native stablecoin, alongside potential bribes from validators.

This circular staking mechanism ensures that staked assets continuously fuel liquidity, reinforcing both network security and capital efficiency. Additionally, approved DeFi protocols can integrate with Berachain’s liquidity system, attracting deep liquidity at lower costs while boosting overall ecosystem growth.

For Cosmos validators, Berachain presents a significant opportunity—bridging Ethereum-native liquidity with the Cosmos ecosystem, which has traditionally struggled to attract EVM-based capital and delegations.

Conclusion

With its groundbreaking consensus model, multi-token economy, and strong backing from top-tier investors, Berachain is poised to reshape the Layer 1 blockchain landscape. As the mainnet launch approaches on February 6, 2025, all eyes are on how this bear-powered ecosystem will perform in the rapidly evolving world of decentralized finance.