iBGT as collatoral

PoL made liquid

Beraborrow leverages iBGT, a liquid version of the Berachain Governance Token ($BGT), as a collateral asset within its protocol. When providing liquidity on Berachain users earn $BGT, which is non-transferrable, and can either be used for governance or redeemed for $BERA tokens. By Staking LP positions with Infrared, $BGT emissions are made liquid to be used throughout the Berachain DeFi ecosystem. Read more here

Staking iBGT

1. When users deposit $iBGT into Beraborrow, the asset is atomically staked with Infrared. This means that the $iBGT is staked with Infrared in the same transaction that it is deposited into Beraborrow and and $siBGT is kept in theDen.By staking the $iBGT users are able to earn additional yield on their holdings, essentially being paid to borrow. Simultaneously, the deposited $iBGT frees up liquidity through the minting of $NECT, which can then be utilised throughout various Berachain DeFi applications.

iBGT that was deposited into Den staked with Infrared

1. When a user looks to redeem their position the $siBGT is unstaked for $iBGT in the same transaction and $iBGT is withdrawn from Infrared directly to the users wallet.

siBGT in beraborrw

By using $iBGT as collateral, Beraborrow ensures that users can maintain exposure to $iBGT, earn yield all whilst maintaining Governance power in the Berachain ecosystem.