Glossary
BERA Token
$BERA is the native gas token of the Berachain ecosystem, initial validator staking token used to secure the network, and used for paying transaction fees. Read more in Tokens > $BERA.
BGT Token
$BGT is Berachain's staking and governance token, which is non-transferrable, can only be earned by participating in Proof of Liquidity, can be burned for $BERA, used to propose and/or vote on governance proposals, and delegate to validators to increase their weight to be selected to propose a block. Read more in Tokens > $BGT.
BeaconKit
BeaconKit is a modular and customizable consensus layer framework, based on Cosmos SDK, for building Ethereum based blockchains.
Block
A data unit containing a list of transactions, which is permanently added to the blockchain in a sequential manner.
Bend
Berachain's native lending protocol, renamed from lend to bend. Read more in Native dApps > Bend.
BEX
Berachain's native decentralized exchange, renamed from DEX to BEX. Read more in Native dApps > BEX.
Berps
Berachain's native perpetuals exchange, renamed from perps to berps. Read more in Native dApps > Berps.
Block Time
The time it takes to create a new block on the blockchain. Berachain has an average block time of < 3 seconds. Note that block time can increase depending on the network congestion.
CometBFT
A general purpose blockchain consensus engine used by Berachain to achieve high throughput and fast finality in transactions. Read more at Cometbft.com.
Consensus Client
The consensus client (sometimes referred to as the consensus layer) is a piece of software that is responsible for achieving agreement among the network nodes about the current state of the blockchain. It handles the process of validating transactions and blocks, ensuring they adhere to network rules, and deciding which blocks get added to the blockchain. The consensus client focuses on network-wide rules and the order of transactions. It is often paired with an execution client.
EVM Consensus Clients:
- Lighthouse: Rust-based client under the Apache-2.0 license.
- Lodestar: A production-ready consensus client implementation written in Typescript under the LGPL-3.0 license.
- Nimbus: Written in Nim and under the Apache-2.0 license.
- Prysm: A full-featured, open source consensus client written in Go under the GPL-3.0 license.
- Teku: One of the original Beacon Chain genesis clients written in Java and is Apache 2.0 licensed.
- BeaconKit: a modular consensus client built upon the Cosmos SDK.
Consensus Mechanism
The protocol by which nodes in the Berachain network agree on the state of the blockchain. Berachain uses Proof-of-Liquidity to select validators based on their provided liquidity.
Delegation
The process by which a token holder grants voting or validation power to another participant in the network.
DEX (Decentralized Exchange)
A platform that enables the buying and selling of tokens directly on the blockchain, without a centralized intermediary. All liquidity is verifiably owned by smart contracts.
Engine API
The Engine API is the interface that allows communication between the execution and the consensus layer of an EVM node. BeaconKit, as a consensus layer, leverages this to be easily paired with any execution client.
Execution Client
An EVM (Ethereum Virtual Machine) execution client (sometimes referred to as the execution layer) is a software application that is responsible for the actual computation of transactions within blocks. It interprets and executes the code of smart contracts using the EVM, manages state changes, and executes the transaction logic. This client ensures that all actions are performed correctly according to the smart contract's code and EVM protocol.
EVM Execution Clients:
- Geth: Official Go implementation of the Ethereum protocol.
- Erigon: More performant, feature-rich client forked from go-ethereum.
- Nethermind: .NET based client with full support for Ethereum protocols.
- Besu: Enterprise-grade client, Apache 2.0 licensed, written in Java.
- Reth: Rust-based client focusing on performance and reliability.
- Ethereumjs: Javascript based client managed by the Ethereum Foundation.
Finality
The assurance that once a transaction is confirmed on the blockchain, it cannot be altered or reversed. Berachain provides instant finality for transactions.
Governance
The system by which decisions are made within the Berachain ecosystem. Governance involves proposals, voting, and the implementation of changes, often using BGT tokens for participation.
HONEY
$HONEY is the native stablecoin of the Berachain ecosystem, pegged to 1 USDC. It is used throughout the Berachain ecosystem and involves minting and burning fees. Read more in Tokens > $HONEY.
Liquidity
The availability of liquid assets to facilitate trading on the Berachain network. Liquidity is often provided by users through liquidity pools.
Liquidity Pool
A collection of funds locked in a smart contract, used to provide liquidity for decentralized exchanges and other DeFi services. Liquidity pools on Berachain can contain 2-8 tokens.
Liquidity Provider
A user who deposits tokens into a liquidity pool, earning a portion of the fees generated from swaps in the pool.
Mainnet
The primary network where real transactions occur on the Berachain blockchain, as opposed to test networks used for development.
Polaris EVM
An implementation of the Ethereum Virtual Machine used by Berachain's Eng team to provide compatibility with Ethereum-based smart contracts built on top of Cosmos's CometBFT.
Proof of Liquidity
A consensus mechanism utilized by Berachain, where validators are selected based on the amount of liquidity they provide to the network.
Staking
The process of locking up tokens to support the operations of a blockchain network. In Berachain, staking is used to secure the network and participate in governance.
Swap
The process of exchanging one token for another on a decentralized exchange. Swaps involve a fee, which varies depending on the pool's settings.