Moola Liquid Staking Benefits

The advantages of Moola Liquid Staking vary depending on how you engage with $MOOLA on Berachain. Here are the key benefits:

Liquidity When you stake $MOOLA and receive MOOLA-Liquid tokens, the primary benefit is instant liquidity. Unlike some networks where unstaking is restricted (e.g., Ethereum 2.0 pre-phase 1.5), Berachain’s PoL allows flexible staking. However, MOOLA-Liquid ensures you can access your capital’s value immediately, regardless of lockup periods. These tokens are portable and usable across Berachain’s DeFi ecosystem, such as in $MOOLA/HONEY pools or for swapping into BERA.
Elastic Supply For Berachain, which supports unstaking, MOOLA-Liquid tokens offer an elastic supply mechanism. This works through a rebasing process that adjusts the circulating supply to stabilize value:
- Staking: When you stake $MOOLA, you receive MOOLA-Liquid, increasing its circulating supply.
- Unstaking: To reclaim your $MOOLA , you return your MOOLA-Liquid tokens to Moola, where they are burned, reducing the supply, and your $MOOLA is returned. For example, staking 5,000 $MOOLA generates 5,000 MOOLA-Liquid. If you later unstake, you burn 5,000 MOOLA-Liquid to retrieve your 5,000 $MOOLA , maintaining equilibrium in the ecosystem. This elasticity ensures MOOLA-Liquid remains a reliable representation of your staked assets.

Last updated 10 days ago

The advantages of Moola Liquid Staking vary depending on how you engage with $MOOLA on Berachain. Here are the key benefits:

Liquidity When you stake $MOOLA and receive MOOLA-Liquid tokens, the primary benefit is instant liquidity. Unlike some networks where unstaking is restricted (e.g., Ethereum 2.0 pre-phase 1.5), Berachain’s PoL allows flexible staking. However, MOOLA-Liquid ensures you can access your capital’s value immediately, regardless of lockup periods. These tokens are portable and usable across Berachain’s DeFi ecosystem, such as in $MOOLA/HONEY pools or for swapping into BERA.
Elastic Supply For Berachain, which supports unstaking, MOOLA-Liquid tokens offer an elastic supply mechanism. This works through a rebasing process that adjusts the circulating supply to stabilize value:
- Staking: When you stake $MOOLA, you receive MOOLA-Liquid, increasing its circulating supply.
- Unstaking: To reclaim your $MOOLA , you return your MOOLA-Liquid tokens to Moola, where they are burned, reducing the supply, and your $MOOLA is returned. For example, staking 5,000 $MOOLA generates 5,000 MOOLA-Liquid. If you later unstake, you burn 5,000 MOOLA-Liquid to retrieve your 5,000 $MOOLA , maintaining equilibrium in the ecosystem. This elasticity ensures MOOLA-Liquid remains a reliable representation of your staked assets.

Last updated 10 days ago