Berachain has initiated the next stage of its Proof-of-Liquidity (PoL) framework, broadening governance and token emissions beyond its native exchange pools. As of Monday, decentralized applications can now apply for incentives through newly whitelisted reward vaults, enabling users and validators to earn rewards across various DeFi platforms. 

Berachain’s architecture integrates application liquidity pools directly into the blockchain. Liquidity providers deposit funds and receive rewards from Berachain itself, rather than from individual decentralized applications. 

In February, Berachain launched with its native Berachain Exchange (BEX) pools to test this concept. Now, approximately 30 additional pools have been approved by the project’s governance to receive rewards from the project’s BGT token emissions.

Currently, all approved pools are related to decentralized exchanges (DEX). The project announced that additional pools will be reviewed for whitelisting starting next week, expanding beyond DEX pools into new areas such as real-world assets (RWA), DeFi, and gaming.

This development also marks a significant step toward decentralizing control of the project, as BGT holders voted on which projects receive emissions and how incentives are distributed.

Co-founder Smokey The Bera remarked on X, “Proof of liquidity is the start of infinite fun on Berachain.” 

Investors appear to concur. With $3.1 billion in Total Value Locked (TVL), nearly $1 billion in stablecoins, and increasing activity, Berachain’s PoL model is reshaping governance and the distribution of DeFi rewards.

FYI: learn more about PoL


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