Fee Tiers and BERA Points
A points based system that rewards protocols that show alignment and productive economic activity. Protocols that consistently contribute gain access to better fee rates over time.
Core Mechanics
Points Accumulation
Protocols earn points through three mechanisms:
BERA Staked
1 point per 500 BERA
BGT Boosted
1 point per 50 BGT
Incentives Spent
1 point per 0.001% daily share
BERA staking and BGT boosting accrue points based purely on capital commitment. Incentives accrue points based on daily share of total market volume.
Vault Category Multipliers
At deployment, Reward Vaults are classified by the guardians based on economic role and behavior. Each category applies a multiplier to points earned from incentives directed to that vault.
Infrastructure / Core Liquidity
External capital inflows, base assets, core primitives
1.0×
Productive DeFi
Fee generating activity with organic usage and real demand
0.8×
Growth / Bootstrapping
Early stage protocols building toward sustainability
0.6×
Incentive Heavy / Circular
Emission driven models with recycling tendencies
0.4×
Farming
Primarily extractive or self feeding loops
0.1×
Protocols bringing genuine value earn points at higher rates while those optimizing for extraction progress slower.
Point Calculation for PoL Incentives
This ensures:
Capital commitment remains the dominant factor
Productive protocols scale more efficiently
Protocols cannot shortcut tier progression through spend alone
Monthly Evaluation
Tiers are evaluated monthly. Points reset on the first of each month and only points earned during the active month determine tier status.
Protocols that do not meet their current tier's threshold are automatically downgraded on the next period
This prevents permanent advantages and ensures efficiency reflects ongoing contribution rather than purely historical activity.
Historic point balances are still recorded and displayed even when not applicable towards the current month
Tier Thresholds (Monthly)
Tier 1
3,000
50,000
5,000
0.10%
1%
Tier 2
15,000
250,000
25,000
0.50%
2%
Tier 3*
30,000
500,000
50,000
1.00%
3%
Tier 4*
60,000
1,000,000
100,000
2.00%
4%
Tier 5*
90,000
1,500,000
150,000
3.00%
5%
*Tiers 3-5 require at least 10% of points from 2 or more categories
Priority Queue
When multiple protocols bid at the ceiling rate, a priority queue determines allocation order through micro adjusted rates visible only to validators.
Trigger: 2+ protocols bid at ceiling rate ($0.90)
Mechanism: System automatically assigns micro-adjusted rates at or above $0.90
Increment: $0.001 (0.1 cents)
Ordering Rules:
Primary: Tier (Tier 5 > Tier 4 > Tier 3 > Tier 2 > Tier 1)
Secondary: FCFS within same tier
Example Queue:
All protocols bid $0.90. System adjusts upward for priority:
Protocol A
5
1st in tier
$0.9040
Protocol B
5
2nd in tier
$0.9030
Protocol C
4
—
$0.9020
Protocol D
3
—
$0.9010
Protocol E
2
—
$0.9000
Protocol view: All protocols see and pay $0.90
Validator view: Validators see adjusted rates and should fill the highest first
The lowest priority protocol stays at exactly $0.90 and everyone above receives incremental bumps upward.
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