Thread by @DylanXVFETH

1/ As someone who’s spent 5+ years as a blockchain dev and even longer as a degen, @berachain is undoubtedly the most significant opportunity I’ve ever seen and it’s not close. Here’s my thesis around their combination of tech, culture and PMF. A thread 🧵

2/ For the uninitiated, Berachain is an EVM compatible L1 built on the Cosmos SDK. Traditional PoS -> PoL which allows for the reutilization of staked assets to provide liquidity where validators stake weight is tied to the amount of liquidity they provide

3/ The Technology:

For starters Berachain opting to be EVM compatible is incredibly smart. The dev tooling is light years ahead anything else and advancing at a blistering pace. Take Foundry, Alloy and Reth as prime examples. EVM is the Javascript of Web3 -> Mass dev adoption💪

4/ Berachain is built upon Polaris, their OS baseplate for an EVM built on top of the Cosmos SDK. Without getting too into the weeds, Polaris bifurcates the block building, processing and storage from the execution itself using message passing to “connect” the EVM and Cosmos SDK

5/ Why build another app chain framework?

Simply forking Geth or other EVM frameworks does not allow the ability to add complex logic to the base layer without introducing new attack vectors/breaking compatibility. As we’ve seen w prior hacks, EVM-ish is simply not enough

6/ To prove the perfectness of their compatibility with the EVM, Berachain actually went to the extreme of having an OP Stack rollup use Berachain as a settlement layer. And it worked! This flawless compatibility is crucial for dApp onboarding and a key part of my thesis

7/ Polaris also offers protection against common attack vectors such as re-entrancy attacks and gas limit vulnerabilities. In addition, you can plug into different components from different clients, increasing client diversity, not previously done before in the Cosmos eco

8/ Polaris also offers a Precompile Dev kit, allowing devs to easily write precompiles to the EVM. Conversely, writing precompiles in Geth requires low level EVM experience and is far less secure and more time consuming

9/ Lastly IBC is the most robust bridging standard in crypto. The tech is rapidly improving w improved relaying infra, packet forwarding middleware, multi-hop routing etc. In addition, ICAs and queries allow for async cross-chain composability to create 1-click experiences

10/ Esp w the proliferation of zkIBC, I have no doubt the Berachain team will drastically benefit from these introp improvements. Users/dApps will chase liquidity and a secure/easy way to move assets from Eth will be a game changer

11/ The Culture:

For starters, we are dealing with a bear themed project that raised capital at a 420.69M valuation just for the memes... need I say more?

12/ Berachain’s roots trace back to the creation of Bong Bears, an NFT collection launched in August 2021. After the release of the 5 rebases in April 2022, the team released an article on Medium revealing their plans to create a native protocol

13/ The culture of Berachain inspires creativity like none other. @deepname99 is the epitome of Berachain. Founding @0xhoneyjar and creating the unbelievable lore of @miberamaker333. I've followed Jani for a while and am convinced he's an org of 69 people cuz bro ships like crazy

14/ While we've the meteoritic rise of memes like Doge, Shiba etc. there is no innovation behind these projects. Imagine if a team can pair memes + innovation. What do you think? That is literally Berachain, the smartest meme play to ever exist in crypto

15/ The PMF:

Above all, Berachain has product market fit. While solving the scalability trilemma is of paramount importance, the tech is already good enough. dApps are chasing liquidity + users, exactly what Berachain provides.

16/ And if it can be done as simply as drag and drop your dApp from Eth L1 -> Berachain w minimal overhead, there is literally no reason every major dapp won’t try and tap into the behemoth liquidity on Berachain. Yes its that simple

17/ In DeFi, we’ve seen the same dApps launch in every eco- DEXes, Perps, Lending and Borrowing, etc. many of which have raised VC capital to largely become a marginally better fork of their predecessor. I think everyone is tired of this

18/ PoL could enable fundamentally new primitives. To name a few: Exotic derivatives, new types of options and risk tranches, whole acc collateral via smart accounts and so much more. Even the prospect of newer DeFi primitives hypes me tf up

19/ I did not touch on Berachain's tri-token model as that also requires a post of its own. TLDR the model divides gas costs, governance and a general stable coin, which ultimately mitigates the liquidity fragmentation we've seen occur in other ecosystems

20/ CC @SmokeyTheBera @itsdevbear @codingwithmanny @YourstrulyVish @0xSami_ @oofncubed @homme0x

69/ As for me, I’ll be doing more research into 2 primary areas on Berachain:

1. Newer DeFi primitives unlocked by PoL

2. Newer MEV mechanisms/externalities in PoL

DMs open always down to jam on ideas. ooga booga