Here's the English translation:

"After reading Berachain's official documentation yesterday, I gained some new insights into their proposed Proof of Liquidity (PoL). I'll analyze Berachain's system design from its conceptual foundation. Please feel free to correct any misunderstandings:

There's a flaw in PoS consensus where validator nodes receive all block rewards, causing them to be disconnected from ecosystem projects and end users. Similarly, ecosystem projects launching tokens on the blockchain primarily benefit their own teams. This creates a fragmented relationship between three parties in a blockchain ecosystem: the blockchain itself, ecosystem projects, and end users.

Would strengthening the mutual benefits between these three parties make the blockchain ecosystem flywheel spin faster? Could this lead to breakthroughs in healthy ecosystem growth and mass adoption? This is the background that led to the birth of PoL (Proof-of-Liquidity).

How does Berachain reshape these relationships through liquidity? To understand this, we must first discuss Berachain's three native tokens: $BEAR, $HONEY, and $BGT.

Looking at Berachain's consensus workflow, validator nodes must stake $BEAR to participate in consensus, competing for block validation rights through PoS to earn block rewards. Here's where Berachain differs from traditional PoS. Taking Ethereum as an example, ETH serves as both the native token, gas token, block reward, and staking token. However, in Berachain, while $BEAR acts as the staking and gas token, block rewards are distributed in $BGT. $BGT cannot be traded or purchased but can be burned to obtain $BEAR. Additionally, block rewards aren't equal but are weighted based on the amount of $BGT delegated to the validating node.

Why did Berachain add the $BGT token? From a broader perspective, $BGT separates governance rights and block rewards from $BEAR. Let's examine $BGT's role more thoroughly: users can stake $BGT to validator nodes, and when these nodes receive block rewards, a portion is returned to users proportional to their $BGT stake, establishing a connection between end users and validator nodes.

One might wonder why this couldn't be achieved with $BEAR alone. Why add $BGT? I believe the official intention was to use $BGT to involve users in the block generation process, giving them a share of block rewards. It's important to note that $BGT cannot be traded or purchased; it can only be obtained through block rewards, while $BEAR circulates freely in the market. Without a new token, validator nodes could simply buy $BEAR, delegate it to themselves, indefinitely increase their weight, and keep rewards within their circle, leaving end users out.

Moving forward, since $BGT can only be obtained through block rewards, wouldn't all $BGT generated since the genesis block still end up with validator nodes? How can end users participate? The team clearly considered this, which is where $HONEY comes in. $HONEY is Berachain's stablecoin pegged to USDC. We also need to introduce the concept of Rewards Vaults, which serve as bridges connecting validator nodes with end users through ecosystem projects. As shown in the PoL diagram from the official documentation, validator nodes receive weighted rewards based on their delegated $BGT, and they can choose multiple Rewards Vaults to receive these weighted rewards. Each Rewards Vault corresponds to an ecosystem project, and users can delegate $BGT to these vaults to indirectly receive block rewards. Taking BERPS as an example, users can stake $HONEY to receive $bHONEY, then stake $bHONEY in the Berps Rewards Vault. When validator nodes linked to the Berps Vault receive block rewards, users receive corresponding $BGT returns.

While this describes how end users participate in block reward distribution, $HONEY, being mintable and swappable, theoretically might not completely prevent validator nodes from monopolizing block rewards. However, introducing Rewards Vaults built jointly by ecosystem projects and end users can, to some extent, counterbalance validator nodes' influence.

At this point, by focusing on block reward redistribution, we can understand Berachain's PoL concept: three parties collaborate where end users and ecosystem projects earn block reward benefits by providing liquidity, while validator nodes receive weight-based block rewards, resulting in a win-win situation.

The three ecosystem projects worth watching closely are BEX, BERPS, and BEND. Through these essential DeFi infrastructure projects, the team has demonstrated typical cases of PoL implementation, a topic I'll share more about later.