🔸 Do you know that the main website of Xiong Chain has only been "halfway up"? PoL flywheel is not even equipped with wheels yet? 🔸 A week ago on the main website@ Berachain has officially posted a blog that provides a detailed explanation of their "PoL flywheel plan during the mainnet era". 🔻 I believe many people have not read it, let's give a brief interpretation here. PoL (Proof of Liquidity) is the innovation of Xiong Chain. It is widely believed that the PoL flywheel will start spinning on the first day of Xiong's mainnet, but this is not the case. The PoL mechanism is very new, but the infrastructure and network consensus of Xiong Zhu Network in the early stage are still unstable. Therefore, in order to avoid causing damage to the network, Xiong Chain officials have decided to launch the PoL flywheel in three stages and gradually. They are Phase0, Phase1, and Phase2, let's talk about what happens in each stage. 🚩 Phase0 (current stage) Perhaps you already know that Bear Chain has BERA as well as BGT. The so-called BGT requires users to provide liquidity and pledge LP tokens in order to obtain it. For example, you can provide liquidity for BERA/WETH and then pledge BERA/WETH's LP credential token to start accumulating BGT rewards. ▪️ Of course, you cannot randomly choose a pool to provide liquidity, as some pools do not meet the conditions for obtaining BGT. Take a look at the picture below. Currently, there are over 130 pools listed on Bear Chain DEX, but only 5 pools (Gold Label) meet the eligibility criteria for BGT emissions. That's why it's in Phase 0, because ideally (if you remember the testnet), the token pool of the ecological project can also receive BGT emissions. ▪️ But in order to ensure the stability of the PoL flywheel, only the above-mentioned mainstream token pairs can obtain BGT emissions in the "first few weeks" of the mainnet launch. However, in Phase 0, anyone (mainly the project team) can issue an RFRV (Request for Reward Vault) to apply for a BGT reward vault, allowing their own token LP pool to receive BGT. ▪️ Perhaps many people have noticed that many bear chain ecosystem projects are rushing for TGE because they need tokens first before applying for RFRV to allow their XXX/BERA pools to receive BGT. A snapshot of the RFRV proposal is taken once a week, and in Phase 0, each proposal must be approved by the BGT Foundation and the Guardians Committee. 🌀 Phase 1 (around the end of February) According to @ capnjickbear, the head of Bear Chain DeFi, we will be able to see the first batch of ecological Dapp mining pools that meet BGT acceptance requirements go online before the end of February. ▪️ When the first batch of "ecological project mining pools" start accepting BGT, the PoL mechanism will be fully activated. For example, we can offer LP on Ecological Dex @ KodiakFi and receive BGT incentives. ▪️ In addition, the incentive for validators in Phase 0 has not yet been launched, so there is no reward for entrusting BGT to validators. But in Phase 1, the reward is expected to be officially launched. It can be said that Phase 1 is the time to test the Berachain PoL flywheel, and it is worth paying attention to the performance of the BERA coin price at that time. 🌊 Phase 2 (approximately 3/4 months) In the weeks following the launch of Phase 1, the decentralization of the network will further deepen. The network governance function will be handed over to BGT holders, who can propose more proposals. ▪️ At that time, liquidity certification will be fully implemented. It is expected that dozens of protocol/LP pairs will be able to obtain BGT emissions, and new projects can provide token incentives in the market to seek support from validators. At this point, Berachain's PoL flywheel will completely spin. ❓ Xiong Chain Defi Director @ capnjickbear answers community questions (only summarizes key information) Q： Investors can pledge their BERA, receive most of the BGT rewards, and then sell. A： Investors can indeed pledge BERA, but its yield does not account for the majority. 84% of all BGT emitted from the network goes into the reward vault of the ecosystem (which then flows to dapps and users), and 16% goes to investors. Q: Berachain experiences annual and permanent inflation. A： Any POS L1 blockchain experiences inflation, while other L1 tokens distribute the inflation rewards to token stakers, and Berachain distributes the rewards to ecological Dapps and users. Q: BERA airdrops still face significant selling pressure. A： Official NFTs, testnet RFAs, partners, Binance Holders, and ecological NFTs have all been unlocked and circulated, with only RFB distribution, Boyco distribution, and social distribution remaining for the rest. The purpose of RFB design is to incentivize users to use the mainnet, and the plan is to distribute tokens to mainnet users within 6-12 months; Boyco's rewards will be unlocked in 1-3 months; The only social airdrop that still faces selling pressure recently is 0.25%.