Smokey The Bera shares plan to make Berachain extra resilient to crypto volatility: Consensus 2025

Berachain is concentrated on constructing “decorrelated populations” of customers to protect in opposition to market reflexivity, mentioned Smokey the Bera, theblockchain’s pseudonymous founder, onstage at CoinDesk’s Consensus 2025 occasion in Toronto.

Reflexivity is an enormous concern in decentralised finance and crypto. It refers back to the self-reinforcing impact of market sentiment. Rising costs usually entice consumers and create a constructive suggestions loop. Nonetheless, the identical course of can function in reverse resulting in a catastrophic collapse in costs.

Berachain’s plan for the second and third quarters is to assist worthwhile companies that exist in web2 and are uncorrelated to the prevailing DeFi and crypto markets.

Doing so will assist Berachain guard in opposition to reflexivity, serving to it climate market volatility and retain deep liquidity, Smokey mentioned.

Smokey was joined by Jason Atkins from market making agency Auros, once they mentioned all issues to do with liquidity — basically how simply and rapidly a crypto asset could be purchased or offered with no vital impression on its value.