• General
  • Request for Comment: BeraChain - OIP

Summary 

 This is a proposal to formalize Olympus to participate in the seed round of "BeraChain" and align as strategic partners with the BeraChain Foundation. The BeraChain team is raising $10m USD at a $50m fully diluted valuation. We propose that Olympus deploys $500k of treasury assets to invest in BeraChain. This allocation  would be 1% of the genesis token supply. Another 1% will be given to Olympus from the BeraChain strategic partnerships fund to bring Olympus' total ownership to 2% of the network. 

This would be Olympus' largest early-stage allocation to a seed venture to date. 

Background

What is BeraChain? 

BeraChain is a fully EVM equivalent & IBC connected layer one blockchain that implements a novel "Proof of Liquidity" Consensus mechanism. PoLC aims to combat the shortcomings of traditional Proof of Stake validated blockchains by systemically ensuring the creation of liquidity as a core primitive required for block production. 

Key Features of BeraChain: 

● Tri-Token Model: BeraChain follows a Tri-Token model consisting of fee token, governance token, and native fractional algorithmic stablecoin

● Proof of Liquidity Consensus: Validator consensus power is calculated via the depth of liquidity pools within the native decentralized exchange. We have partnered with CrocSwap to assist in the development. The DEX is tied into the consensus mechanism, allowing liquidity "stakers" to earn block rewards. The consensus engine is based on a heavily modified version of Tendermint and utilizes the Cosmos SDK as the application layer

● Full EVM Compatibility: Existing Ethereum smart contracts can be deployed without modification

● Full IBC Enablement: Protocols can enable IBC transfers for their ERC20 tokens, allowing permissionless ERC20 bridging to over 30 chains, such as the Cosmos Hub and Terra

● Built-in Synapse Integration: Protocols can bridge their tokens to 10+ EVM blockchains with minimal engineering effort; BeraChain handles everything

● Interblock Computation: Protocols can execute autonomous tasks (keeper transactions) without external invocation. Reduces physical hardware requirements for DAOs and facilitates centralization aspects of running periodic tasks

● Liquidity Provisioning: Governance token voting power can be used to direct systemically created liquidity as part of the block rewards and token bonding process. Protocols can utilize this feature to secure permanent, locked liquidity for their protocol without dilution due to bonding

Motivation

To provide an opportunity for Olympus to participate in Berachain seed round and form a strategic partnership.

Proposal

Proposed Terms Seed Round Participation Olympus is to  deploy $500k in OHM distributed to the BeraChain Foundation in 5 installments, paid out at the first of each month beginning April 1st, 2022, and concluding on August 1st, 2022. In exchange, Olympus will receive the market equivalent of $500k (1% of the initial token supply) in the native fee token during the Token Generation Event (TGE). These tokens are subject to a three-year vesting period, with an unlock cliff at six months. Vesting of tokens begins at the signing of the genesis block. 

Strategic Partnerships 

The BeraChain Foundation will distribute additional fee tokens to the market equivalent value of $500k (1%) to Olympus to participate in the network as a strategic partner. These tokens are subject to the same vesting schedule listed above. In exchange for this allotment, our team and Olympus have agreed to commitments including but not limited to: 

From Olympus DAO: 

● Creation of an Olympus Treasury on BeraChain for storing "Cosmos" native assets, with the initial focus on Berachain native fee token, Berachain stablecoin, and UST - subject to required Olympus Treasury team risk assessment, recommendation of asset allocations and treasury allocation proposal (TAP). In the longer term, consideration of expansion other Cosmos assets such as ATOM or LUNA 

● A deployment of Olympus Pro on BeraChain, subject to sufficient demand 

● Marketing and promotion assistance 

● Continue to collaborate and explore further opportunities to integrate and work together 

From BeraChain: 

● Deployment of the aforementioned Olympus Treasury at the following vanity address: 

● 0x3300000000000000000000000000000000000000 

● Both the investment and strategic partnership tokens can be allocated directly to this address ● Bridging support via the Synapse Protocol and IBC for gOHM + other cross-chain support as needed for Olympus v3

BeraChain x Olympus Odyssey 

● BeraChain will continue efforts in helping Olympus Odyssey cross-chain engineering efforts, including but not limited to smart contract + cross-chain relayer architecture/design

● Odyssey will utilize BeraChain as the "main hub" for storage, ERC721, ERC1155, and rewards routing

Please join us for an AMA to discuss all things Berachain, hosted by the Olympus partnership contributors, at 2pm EST (6pm UTC) on 15th March 2022 in the Olympus Discord.

    Bera Chain fixes this

    B E R A C H A I N F I X E S T H I S

    DevBear BeraChain is real! I think it’s a terrific project. My only concern is perception. People will wonder “do central banks make early stage investments?”

    Beyond narrative worries, I’m in support of this. I think BeraChain could open really cool use cases for $OHM. Payments even.

    Good luck BeraDevs. You’ve got my vote. Onwards.

      Bera chain fixes this.

      Terrific partnership and much needed infra to extend into the cosmos ecosystem🙏

      Hold the crocswap team high regard very interesting to see them involved in development

      Beautiful vanity address (3,3) x (🐻,🐻)

      Berachain fixes this

      BeraChain fixes this!

      Although we've all heard that BeraChain is coming for some time now, I would like to see more information if Olympus will invest such a large allocation in it. For example, who is the team behind BeraChain, how far along are they to a working product, other partners until now, a whitepaper or documentation to get more information. Or am I crazy to ask for such things?

      Without these then it seems like a risky seed investment to be made by a reserve currency imo. Ohmies that are not in the bera community should be able to find out what this is all about if they see $500k of treasury assets being put towards it.

      It would be nice to see discussion on these posts instead of repeated posts saying 'Berachain fixes this'…