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Luganodes X Berachain: Pioneering Liquidity-Driven Blockchain Security

The Tri-Token solution

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Published on

5 Feb, 2025

Berachain's long-awaited mainnet has finally gone live today! Luganodes is now open for delegations for staking at Berachain Hub.

If you have any questions or need assistance, feel free to reach out to us at [email protected].

Introduction

We’re thrilled to announce our partnership with Berachain, a Layer 1 blockchain leveraging the novel Proof of Liquidity consensus mechanism. Together, Luganodes and Berachain are shaping the future of decentralized security by harnessing liquidity as the foundation for blockchain scalability, decentralization, and efficiency.

What Makes Berachain Unique?

Berachain introduces Proof of Liquidity (PoL), a unique consensus mechanism designed to address the shortcomings of traditional Proof of Stake (PoS) systems. Unlike PoS, where tokens are staked and locked, PoL leverages liquidity contributions to secure the network. This innovative approach incentivizes liquidity providers with Berachain Governance Tokens (BGT), ensuring active ecosystem participation while maintaining decentralization.

The Berachain Tri-Token System

Berachain’s economic design revolves around three distinct tokens:

  • BERA (gas token): Powers transactions and smart contracts.

  • BGT (governance token): Earned through liquidity provision and used to delegate validator stakes.

  • HONEY (stablecoin): A USDC-pegged token stabilizing the ecosystem and enabling liquidity.

Polaris EVM: An Enhanced Ethereum Experience

Built on the Polaris EVM, Berachain provides an EVM-equivalent-plus experience, combining Ethereum compatibility with modular enhancements for faster and more efficient execution. Its CometBFT consensus ensures secure, Byzantine Fault Tolerant transactions, making Berachain an ideal environment for developers.

The Power of BEX (Berachain Exchange)

Berachain’s native exchange, BEX, enables permissionless pool creation and incentivized liquidity provision. Features like MetaPools and flexible pool types ensure deep liquidity, aligning validator incentives with ecosystem goals. By decoupling gas tokens (BERA) from governance tokens (BGT), Berachain ensures unmatched capital efficiency and liquidity-driven growth.

With its innovative architecture and a $1.5 billion valuation following significant funding from Brevan Howard Digital, Framework Ventures, and Polychain Capital, Berachain is set to redefine decentralized finance and blockchain security.

For a deeper dive into Proof of Liquidity and Berachain’s revolutionary approach, check out our detailed blog post: Berachain’s Proof of Liquidity: A New Era in Blockchain Security.

Luganodes X Berachain

As a trusted node operator for Berachain, Luganodes plays a pivotal role in supporting the network’s Proof of Liquidity model and ensuring its seamless operation.

By operating high-performance validator nodes, we maintain Berachain’s reliability and uptime, securing the network’s foundation. Additionally, we enable capital efficiency by allocating liquidity-backed governance tokens (BGT) effectively, enhancing shared security and network scalability.

Drawing from our extensive experience in securing staked assets across more than 50 networks, Luganodes brings a proven track record of operational excellence and infrastructure expertise. Through this partnership, we are proud to support Berachain’s mission to create a liquid, efficient, and decentralized blockchain network.

Conclusion

Luganodes and Berachain are pioneering a new era in blockchain infrastructure, where liquidity becomes the cornerstone of security, scalability, and decentralization. As Berachain launches its mainnet, we’re enabling a future where decentralized networks thrive through seamless innovation and robust economic alignment.

About Luganodes

Luganodes is a world-class, Swiss-operated, non-custodial blockchain infrastructure provider that has rapidly gained recognition in the industry for offering institutional-grade services. It was born out of the Lugano Plan B Program, an initiative driven by Tether and the City of Lugano. Luganodes maintains an exceptional 99.9% uptime with round-the-clock monitoring by SRE experts. With support for 45+ PoS networks, it ranks among the top validators on Polygon, Polkadot, Sui, and Tron. Luganodes prioritizes security and compliance, holding the distinction of being one of the first staking providers to adhere to all SOC 2 Type II, GDPR, and ISO 27001 standards as well as offering Chainproof insurance to institutional clients.

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