Berachain experiences a steep decline despite its listing on Crypto.com

Berachain, the blockchain project promoted by the pseudonymous founder “Smokey,” is facing a significant decline, with its token BERA falling over 27%, trading around $5.99, despite recent exposure through listings on major centralized exchanges like Crypto.com, MEXC, Upbit, and Bithumb.

Launched officially on February 6 after over a year of anticipation, Berachain raised more than $100 million in funding and introduced its Proof of Liquidity consensus model. This model aims to set it apart from traditional proof-of-stake blockchains. The project initially stemmed from the Bong Bears NFT collection, which debuted in August 2021 on the Ethereum blockchain, featuring 100 cannabis-themed bear NFTs.

While Berachain has gained attention for its innovative approach, concerns have been raised regarding its early funding strategy. Critics, including industry executives, have pointed out that the project sold NFTs before pivoting to blockchain development, which could raise questions about its sustainability and market confidence.

Despite its recent exchange listings, the decline in BERA’s price suggests that there may be skepticism in the market about the long-term viability of its liquidity-driven model. As Berachain continues to develop, it remains to be seen whether it can regain momentum and solidify its position in the competitive blockchain space.