Berachain focuses on the construction of user “decorrelated populations” to protect themselves against market reflexivity, said Smokey the Bera, the pseudonym founder of TheBlockChain, on stage during the Coindesk Consensus 2025 event in Toronto.
Reflexivity is a great concern in decentralized finance and crypto. It refers to the self-reinforcementing effect of the feeling of the market. The rise in prices often attracts buyers and create a positive feedback loop. However, the same process can work upside down, which has led to a catastrophic price collapse.
The Berachain plan for the second and third quarters is to support profitable companies that exist in web2 and which are not correlated with the existing DEFI and Crypto markets.
This will help Berachain to protect himself against reflexivity, to help him initially the volatility of the market and to keep deep liquidity, said Smokey.
Smokey was joined by Jason Atkins from the manufacture of the Auros market, when they discussed everything related to liquidity – essentially to what extent a cryptographic asset can be easily purchased or sold without significant impact on its price.
