Bera Labs Proposal: Reduce the BGT inflation rate to 5%

DeepFlowTech · 2026-01-16T04:13:26+00:00

Bera Labs proposes to reduce the BGT inflation rate to 5%, believing that the current 10% minting rate is no longer suitable for the ecosystem's maturity. The plan is to further lower the inflation rate in the coming years while evaluating long-term improvements to liquidity proof to enhance the value of BGT and protocol revenue.

DeepFlowTech

2026-01-16 04:13:26

Abstract generation in progress

Deep Tide TechFlow News, January 16th, according to official sources, Bera Labs has initiated a proposal to reduce the BGT inflation rate to 5%. The proposal states that currently Berachain mints BGT at an approximate target rate of 10% per year, with the actual inflation rate averaging around 8% so far this year. During the network validators and early application ecosystem launch phase, high inflation is appropriate, but as the ecosystem matures and new macroeconomic environments form, it is recommended to lower the BGT inflation rate to about 5%, reducing unnecessary dilution and improving sustainability and emission efficiency, while remaining aligned with other competitive L1s.

This proposal will not modify the reward mechanism, treasury allocation logic, or any Proof of Liquidity (PoL) component.

The proposal also states that inflation will be further reduced during 2026 and 2027 to be closer to Ethereum. Additionally, the team is evaluating long-term improvements to PoL, aiming to create sustainable protocol-level revenue that, over time, will unlock greater value for BGT.

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