Smokey The Bera shares plan to make Berachain more resilient to crypto volatility: Consensus 2025
Berachain is focused on building “decorrelated populations” of users to guard against market reflexivity, said Smokey the Bera, theblockchain’s pseudonymous founder, onstage at CoinDesk’s Consensus 2025 event in Toronto.
Reflexivity is a big concern in decentralised finance and crypto. It refers to the self-reinforcing effect of market sentiment. Rising prices often attract buyers and create a positive feedback loop. However, the same process can operate in reverse leading to a catastrophic collapse in prices.
Berachain’s plan for the second and third quarters is to support profitable businesses that exist in web2 and are uncorrelated to the existing DeFi and crypto markets.
Doing so will help Berachain guard against reflexivity,…
