Why Berachain?

DiscoCats is being developed to deliver a multi-layered yield experience that pushes the boundaries of what NFT projects can offer. Berachain, with its innovative Proof of Liquidity (POL) mechanism, provides the perfect foundation for this approach by incentivizing liquidity participation.

Proof of Liquidity: Empowering Yield

In Berachain’s ecosystem, validators are incentivized through POL to direct Bera Governance Token (BGT) emissions towards liquidity gauges set up by protocols. This creates a competitive environment where protocols offer “bribes” to validators to channel BGT emissions to specific liquidity pools. These gauges distribute BGT rewards to users based on their share of deposited liquidity, establishing a healthier equilibrium that motivates both liquidity provision and validator participation.

For DiscoCats, this means an additional layer of yield can be generated through active participation in Berachain’s liquidity pools. Protocols offering bribes to validators create an indirect incentive structure, allowing DiscoCats to benefit not just once but through repeated cycles of validator rewards and protocol-driven bribes. This means that protocols will not only bribe validators for BGT emissions but will also compete for liquidity order flow by offering incentives to DiscoCats, effectively creating dual-layer bribes that boost earnings for our holders.

Why bears for the cats?

1. Proof of Liquidity (POL) Rewards: Berachain’s consensus model ensures that projects contributing to chain liquidity are rewarded. This is perfect for DiscoCats, which aims to earn additional yield by actively participating in the chain’s liquidity infrastructure.

2. Bribe Mechanisms: Protocols will strategically bid for liquidity through bribes, ensuring that holders of DiscoCats benefit from continuous, competitive incentives.

3. Community and Ecosystem Integration: Building on Berachain means tapping into an ecosystem rich in established DeFi products, which streamlines the development process and allows for seamless integration of liquidity solutions, which is why we chose Berachain.

The Role of RFB (Request for Broposal)

Berachain’s RFB program stands out by distributing initial BERA token supply to protocols that contribute to the ecosystem, with 70% mandated for ecosystem rewards. This opens up opportunities for projects like us to tap into early-stage BERA incentives, using them to amplify the yield through validator bribes. Validators, driven by the appeal of acquiring BERA with deep liquidity and ecosystem value, are likely to engage with gauges that align with it.

Conclusion

Berachain’s POL model aligns with DiscoCats’ goal of providing multi-layered yields. By participating in the POL and leveraging the RFB program, DiscoCats can position itself as a yield-optimized NFT project that not only earns from traditional sources but capitalizes on Berachain’s unique ecosystem to enhance value for holders.