If you explore the Berachain blockchain, you’ll find that it operates on a tri-token mechanism: BERA, BGT, and HONEY. BERA is readily available on all Tier 1 exchanges, but buying BGT or HONEY is not possible; BGT is distributed as validator rewards, while HONEY is minted. When it comes to earning with BERA, there are multiple options to consider. Staking on CEX provides a straightforward way to generate passive income, while on-chain liquidity pools, available on BeraHub, offer another earning opportunity with better yields. In this guide, we’ll walk you through the available methods, helping you find the right approach to earn with BERA based on your preferences.
What is Berachain?
Berachain is a high-performance, EVM-identical Layer 1 blockchain designed to enhance DeFi through its innovative Proof-of-Liquidity (PoL) consensus mechanism. Unlike traditional blockchains that prioritize validator rewards, PoL directs incentives toward liquidity, improving trading efficiency, price stability, and network growth.
Berachain operates on a tri-token system:
- $BERA: The gas and staking token, used for transaction fees (burned upon use).
- $BGT: A non-transferable governance token earned through participation.
- $HONEY: A fully collateralized stablecoin, soft-pegged to the US Dollar.
As an EVM-identical chain, Berachain seamlessly integrates Ethereum upgrades like Dencun, ensuring full compatibility with Ethereum-based applications and RPC endpoints.
Loading...
Rank #Token Symbol
-
All-Time High
-
Current Price
-
Market Cap
-
Total Supply
-
Ways to Earn with BERA
Berachain is currently one of the most active blockchain networks, ranking 6th among all live networks with a TVL exceeding $3B+, a number that continues to grow. For BERA holders looking to earn passive rewards, there are currently two options available. The first is staking through Binance, a straightforward and accessible method. The second option involves providing liquidity on-chain, which requires interacting with the blockchain but offers higher APYs. Both methods have their advantages, depending on a user’s preference for simplicity or higher potential returns.
Staking on CEX
For beginners who are new to crypto, Binance Staking offers the easiest way to earn with BERA. With no lockup period and an APY of up to 17-19%, Binance’s Simple Earn product provides a hassle-free option for passive income. Let’s go through the steps to stake BERA on Binance effortlessly.
Read more: How to Buy BERA Tokens
Step 1: Head over to Binance on your desktop and log in to your account to access your wallet. First-time users will need to create a Binance account.
Step 2: On the Binance homepage, hover over the “Earn” tab and select “Simple Earn” to view all available Binance Simple Earn products.
Step 3: On the Simple Earn product page, use the search bar to search for “BERA”, then click on the BERA search result.
Step 4: The BERA subscription window will open. Enter the amount of $BERA tokens you wish to stake, then click on the “Confirm” button.
Step 5: You will receive a notification confirming your successful BERA token subscription on Binance Earn. Click on the “View Holdings” button to check your staked BERA tokens.
Providing Liquidity
Apart from simply staking your BERA tokens on Binance, you can also earn with BERA by providing liquidity through BeraHub, the central platform for all Berachain operations. This method not only offers higher APY, but also allows users to earn $BGT; the governance token in Berachain’s tri-token mechanism, granting voting rights in network decisions. While the process involves a few extra steps, providing liquidity is the best way for those interested in Berachain’s long-term vision to actively participate and contribute to its ecosystem.
To provide liquidity, you will need $BERA tokens in your Web3 wallet. For this guide, we will be using MetaMask, as it is one of the most popular Web3 wallets, many users are familiar with its interface, and it supports the Berachain network, which is crucial for this process.
Download MetaMask for your device
Transferring BERA to Your Web3 Wallet
Step 1: To transfer funds to your Web3 wallet, we will be using the Berachain network. First, ensure that your Web3 wallet has the Berachain network added.
Step 2: After adding the Berachain network, head over to your exchange; we will be using Binance. Hover over the “Wallet” icon and click on “Overview”.
Step 3: On your account overview page, click on “Withdraw”, as we will be withdrawing BERA tokens.
Step 4: On the Withdrawal page, go to the Coin field and select “BERA”.
Step 5: Now, move to the Address field. Here, you need to paste your Berachain wallet’s receiving address.
Step 6: Once you have pasted the wallet address, Binance will automatically detect the Berachain network. If it doesn’t, manually select “BERA” from the network options.
Note: Please be careful when selecting the network and pasting the withdrawal address. Incorrect details can lead to loss of funds.
Step 7: Enter the amount of BERA tokens you want to send to your Berachain wallet, and then click on the “Withdraw” button to complete the withdrawal.
Swapping BERA for WBERA
Step 1: You will receive the tokens within seconds. While waiting, open your browser, head over to BeraHub, and click on “Connect” to link your MetaMask wallet.
Step 2: With your Web3 wallet now connected, you can access BeraHub. To begin, you first need to swap BERA tokens for WBERA. Click on the “Swap” option.
Tip: You cannot directly add BERA to provide liquidity, but there are liquidity pools that pair with WBERA.
Step 3: On BeraHub Swap, select the tokens you wish to swap; in this case, from “BERA” to “WBERA”, and enter the amount you want to swap.
Important: Do not swap your entire BERA balance for WBERA, as you will need BERA tokens to pay gas fees for transactions, including swaps.
Step 4: After selecting the tokens, click on the “Wrap” button and approve the transaction in your wallet.
Adding Liquidity on BeraHub
Step 1: Now, click on the “Pool” tab in the toolbar to view the available liquidity pools on BeraHub.
Step 2: Scroll through the list and click on the liquidity pool where you want to deposit your WBERA. You can check various pool stats such as Total Value Locked (TVL), Pool APR, and BGT APR to help you decide.
Step 3: On the selected liquidity pool, click on the “Deposit” button to proceed with adding WBERA as liquidity.
Step 4: Enter the amount of WBERA you want to deposit and then click on the “Preview” button.
Step 5: Click on “Approve WBERA” to confirm your Liquidity Pool addition and approve the transaction in your wallet.
Step 6: A second confirmation popup will appear. Click on “Add Liquidity” to finalize providing WBERA as liquidity to the pool, then confirm the transaction.
Staking LP Tokens in Reward Vaults
Step 1: With WBERA successfully added to the liquidity pool, you will receive an LP receipt token. This token can now be staked in the Reward Vaults. Click on “Stake in Reward Vault”, or visit the “Vaults” tab in the toolbar.
Step 2: In the stake widget, enter the amount of LP receipt tokens you wish to stake.
Step 3: Once the amount is entered, click on the “Approve 50WBERA-50HONEY-WEIGHTED” button to approve the transaction.
Step 3: After the transaction is approved, click on the “Stake” button to stake your LP receipt tokens in the BeraHub Rewards Vault.
Step 4: Your BERA tokens are now staked in the Rewards Vault. Your earned rewards will be displayed in the “My Staked Tokens” widget.
Note: You can unstake your LP receipt tokens at any time; there are no lockup periods. Simply click “Unstake” to reclaim them.
Berachain Staking Fees
Regardless of the staking option you choose, there are no platform fees for staking on Berachain. Binance Earn allows you to stake and unstake without any charges. On-chain transactions and staking on BeraHub do involve gas fees, but they are minimal.
There are no liquidity pool fees or unstaking fees, and when withdrawing from a liquidity pool, you can unwrap your BERA directly. In our case, the total fees amounted to just 0.004 BERA, which is negligible considering the higher APR you earn.
Final Thoughts
Berachain continues to grow, and while the future price of the BERA token remains uncertain, you can still earn passively while holding it. With both Binance Earn and BeraHub offering secure ways to stake your tokens, this adds an extra layer of confidence for users.
If you choose to stake through BeraHub, ensure that your web3 wallet is well-secured, as on-chain interactions require careful management. Diversifying your strategy based on your risk tolerance and desired returns can help you make the most of your BERA holdings.
FAQs
1. What is WBERA and why do I need to swap for it?
WBERA is the wrapped version of BERA used in BeraHub’s liquidity pools. Since you cannot directly add BERA for liquidity, you must swap a portion of your BERA tokens for WBERA before providing liquidity.
2. How do I add funds to my Web3 wallet for liquidity provision?
Transfer your BERA tokens from an exchange (like Binance) to your Web3 wallet (e.g., MetaMask) after adding the Berachain network. This ensures you can participate in on-chain liquidity provision on BeraHub.
3. Can I unstake my tokens at any time?
Yes, both staking options allow you to unstake your tokens without any lockup periods.
4. How to earn BGT on Berachain?
You can earn BGT primarily by providing liquidity on BeraHub. Simply swap some BERA for WBERA, add liquidity to a pool, and then stake your LP tokens in the Reward Vault to receive BGT as rewards. Additionally, validators earn BGT, but that’s a more advanced option.
