Q1. Infrared Finance is known as a DeFi platform within the Berachain ecosystem. Therefore, it is expected to be significantly impacted by the price fluctuations of $BERA. How will the rise and fall of $BERA token affect Infrared Finance, and what measures are in place to address this?"

Infrared Finance isn’t an ordinary DeFi protocol—we are deeply integrated with the Berachain ecosystem as one of the largest validator sets and the creators of two liquid staking tokens (LSTs): iBGT and iBERA.

iBGT is a liquid-wrapped version of BGT, the soulbound governance token of Berachain. Because iBGT represents a token that is not ordinarily transferrable (BGT), its liquidity is primarily about unlocking composability rather than exposing Infrared to direct price volatility of BERA.

iBERA is our liquid-wrapped version of staked BERA, giving users an opportunity to participate in governance and earn rewards in a more liquid form. While the value of iBERA may be impacted by fluctuations in BERA’s price, the actual design of iBERA ensures that we capture the staking yield and pass it through to holders.

To address sharp swings in BERA specifically:

Validator Infrastructure: As a top validator, we have direct insight into network health and can make adaptive decisions quickly—this means we can adjust our validator strategies or incentivized pools if conditions become especially volatile.

Composability & Diversification: Our vaults (iBGT, iBERA) are meant to expand liquidity across the broader ecosystem, so single-asset price volatility is mitigated through deeper integration with other protocols, helping to stabilize returns over the long term.

Sustainable Yields: By focusing on yield mechanics rather than pure speculation, our product design naturally buffers against short-term price movements. As we scale, we plan to release more products that further smooth out volatility for users.

Ultimately, we function as a pass-through yield aggregator, unlocking liquidity for otherwise illiquid assets. This structure inherently limits the direct impact of price swings on our day-to-day operations because we’re not reliant on speculation but rather on the underlying utility and yield of the tokens we wrap.

Q2. When can the BERA deposited in the iBERA single pool be unstaked? Also, I noticed that the swap ratio between iBERA and BERA is not 1:1 at the moment. Will it gradually adjust to a 1:1 ratio over time?

Whether or not BERA can be withdrawn immediately from iBERA depends on the Berachain network itself—specifically, when they enable on-chain withdrawals or redemptions. Until that functionality is live, users have two options:

Swap in and Out Via Our Pool: We maintain a liquidity pool that allows users to exchange iBERA for BERA at a market-driven ratio. While not always 1:1, it gives immediate liquidity for those who need it.

Upcoming Dynamic Queue System: We’re introducing a more efficient queue-based system that will let users enter and exit the iBERA pool at more favorable rates. This feature is designed to optimize liquidity flows and reduce slippage.

Regarding re-aligning iBERA to a 1:1 ratio with BERA:

Over time, as more liquidity enters the pool and Berachain’s redemption mechanism is activated, the price should naturally converge closer to 1:1.

We also plan to incentivize liquidity within our pools to keep the swap ratio stable.

Ultimately, the exact price will reflect the open market and any yield accrued to iBERA holders.

Q3. Infrared is a leading lst protocol in berachain, and many ppl expects that liquidity provider will get airdrop. Can u give us hint for what will be respected as a dapp contributor to got airdrop

We understand the community’s interest in potential airdrops, and while we can’t share precise details yet, we can say that we’re kicking off a points campaign in the near future. This campaign will track in various ways, and these points might influence future reward distributions. Although we can’t confirm anything beyond that at this moment, we encourage everyone to stay active in our ecosystem and watch for official announcements. We’re committed to recognizing early supporters in the Infrared community.

Q4. Infrared Finance aims to simplify the PoL mechanism to enhance accessibility. However, how does the Infrared team plan to prevent the issue of mercenary liquidity—where liquidity providers enter only for short-term rewards and quickly exit? Additionally, could you explain any differentiated incentive structures designed to maintain long-term ecosystem stability?

Liquidity that appears only to farm rewards and then leaves often called “mercenary liquidity” is a concern in many DeFi ecosystems. However, for Infrared Finance:

Pass-Through Vault Structure: We’re a pass-through aggregator, meaning we route user deposits to underlying pools. If someone is going to act mercenary, they’d do the same in any other pool. Our vaults don’t create additional risk for that behavior; they simply offer better yield and liquidity for assets like BGT.

Long-Term Incentive Design: Our goal is to be a “black hole” for BGT—that is, once BGT is wrapped into iBGT, it becomes more useful and liquid, giving holders more reasons to keep it staked. As the protocol evolves, we’re introducing upgraded vault features and yield mechanics that reward staying power rather than quick in-and-out moves.

In short, while mercenary liquidity can come and go, the underlying value proposition of iBGT (and other Infrared offerings) is designed around real utility and yield generation, which naturally fosters more loyal liquidity over time.

Q5. How will Infrared Finance prevent large iBGT holders from dominating governance while keeping PoL incentives attractive?

iBGT can’t be minted freely; it must be earned (farmed) by participating in the Proof of Liquidity process. Hence, there’s a natural rate limit on how much iBGT can accumulate with one address. Beyond that:

Economic Bribe Detection: Currently, the protocol optimizes for the best economic bribes, meaning iBGT stakers collectively steer their stake to maximize yield.

Evolving Governance Model: We’re exploring further governance frameworks that distribute voting power in a more balanced way, preventing any single entity from overly dominating.

Upcoming Documentation: We’ll update our docs soon to explain changes to our incentive alignment, ensuring both fairness in governance and attractiveness of PoL returns.

Q6. I see that Infrared’s TVL is quite high at $1.59B. Given the recent exploit on Bybit, security concerns in the crypto industry are growing. Can Infrared Finance be trusted in terms of security?

Security is an absolute priority for us, especially given the volume of assets under our management and our role as a core infrastructure provider in Berachain. Here’s how we mitigate risk:

Multiple Audits & Ongoing Monitoring: Our smart contracts have undergone 8+ audits by reputable firms, and we continually engage with security partners like Hypernative to monitor on-chain activity.

Institutional Backing & Incubation: We’re incubated by the Build a Bera Foundation and backed by Binance Labs, which underscores both the due diligence and the level of trust major players have in us.

Battle-Tested Validator Experience: As one of the largest validator sets on Berachain, we operate secure nodes that handle critical network operations. This gives us a unique perspective on risk management and chain stability.

By combining audited contracts, real-time monitoring, and strong institutional partnerships, we aim to set a high security standard and give users confidence when they stake with us.

Q7. What does the Korean market mean for Infrared?

Infrared Finance recognizes Korea as one of the world’s most dynamic and forward-thinking crypto markets. We’ve seen firsthand how quickly Korean users adopt innovative DeFi solutions, and we’re excited to engage with such a highly informed community.

Ultimately, our goal is to build a strong, long-term presence in Korea by delivering a reliable, user-friendly experience.

• This concludes the AMA, and we will continue to host AMAs with promising projects in the future.