Some updates on this application:
In light of the new RV guidelines, we have been in close discussion with members of the BGT Foundation, and have also sought advice from members of the Berachain Foundation, on how we can make sure that these Henlocker reward vaults support the goals of both henlo and Berachain simultaneously. Henlo has always positioned itself as Berachain’s canonical memecoin, and it is only interested in utilizing proof of liquidity in a way that will contribute to the growth of the ecosystem on which it depends.
To that end, we have decided to make the following commitments to the community:
- HENLO should maintain at least $400,000 of DEX liquidity for every $20m of TVL, ensuring price can not be artificially manipulated with ultra-thin liquidity to “hack” the bribe rate
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Henlockers can lock a maximum of 15% of HENLO supply in rewards vaults, ensuring HENLO proces to have real demand and purpose beyond farming BGT rewards
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Henlockers can lock a maximum of 20% of supply in any locker products, and commits to no bundling / liquidity concentration outside of lockers, ensuring HENLO supply is not overly controlled for artificial price growth
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HENLO will simultaneously incentivize both its single sided locker RVs and a liquidity pool RV, ensuring the HENLO project as a whole is oriented around driving BERA demand
We feel that these commitments alleviate any concerns about structural risks that single sided vaults and lockers can pose to BGT distribution, via repeatable standards and not merely relying on henlo and THJ’s reputations. Furthermore, we encourage other projects in the ecosystem to consider similar commitments to guarantee alignment and mutual success.