UNFILTERED THOUGHTS ON BERACHAIN

Summary from the TLDR Crypto newsletter

One of the biggest issues for new DeFi protocols is bootstrapping liquidity. Much like how EigenLayer connects ETH validators with Web3 protocols for economic security, Berachain's Proof of Liquidity system allows DeFi protocols to get liquidity from validators through a staked token pool. BGT is a staking and governance token, which is non-transferable and rewarded to liquidity providers, and BERA is a gas token. The liquidity flywheel is expected to work as long as the APRs on liquidity provision are sufficiently high.