BeraBorrow

A decentralized borrowing protocol on Berachain that turns your crypto holdings into instant, interest-bearing NECT stablecoin liquidity — without giving up custody of your assets.

Open App

How it works

  1. Connect your wallet. Any EVM-compatible wallet works. Point it to the Berachain network and visit the Borrow page to see available collateral types.
  2. Choose a den. Each collateral asset — sUSDe, WBTC, WETH, LP tokens from Kodiak, and more — has its own den with specific minimum collateral ratios (MCR) and interest rates.
  3. Deposit collateral. Send supported assets into the den. The protocol records your position on-chain. No third party holds the keys.
  4. Mint NECT. Borrow NECT up to the allowed limit. The minimum collateral ratio is as low as 105 % for stable assets and up to 150 % for more volatile ones. Rates start at 0 % on some dens.
  5. Repay or manage. Top up collateral, repay NECT, or close your den any time. Recovery Mode can tighten ratios system-wide when total collateral health drops — learn the details on the Q&A page.

Why BeraBorrow

Non-custodial by design

Your collateral sits in audited smart contracts. No company holds it. Compare this to centralised lenders that have faced insolvency — the BeraBorrow protocol cannot "run" on your funds.

Low to zero interest on select dens

Some dens charge 0 % annual interest on NECT debt — a structure inspired by early MakerDAO designs. Others carry single-digit rates even for volatile LP collateral.

Real yield for stability providers

Deposit NECT into the Stability Pool and earn liquidation gains plus protocol rewards. APYs listed in the app have exceeded 48 % on certain Kodiak LP dens — well above typical money-market rates.

Transparent risk parameters

Every MCR, CCR, and TCR value is visible on-chain. Nothing is hidden behind a credit-scoring model. Read the team's approach to risk management on the About page.

Key features

Multi-collateral dens

Over a dozen asset types accepted, including Kodiak LP tokens (WBTC-WBERA, WETH-wBERA, weETH-wETH), single assets like WBTC and WETH, and stablecoins such as sUSDe and drUSD.

NECT stablecoin

NECT is the protocol's native USD-pegged token. It uses over-collateralization and a redemption mechanism — conceptually similar to ERC-20 token economics — to stay near $1.

Stability Pool

NECT holders can stake in the pool to absorb liquidations and earn discounted collateral. It is the first line of defense when dens become under-collateralised.

Recovery Mode

When system-wide TCR drops below a safe level, Recovery Mode activates. It prevents new risky borrows and incentivises repayment — protecting every open position, not just the weakest ones.

Pollen staking

Pollen is the governance and fee-sharing token. Stake it to receive a share of protocol revenue — a direct financial link between long-term holders and the health of BeraBorrow's treasury.

Auto-compounding vaults

The Vaults section wraps yield strategies so rewards are reinvested automatically. No manual harvesting, no missed compounding windows.

On-chain swap routing

The built-in Swap module routes trades to the best available liquidity on Berachain — useful when you need to acquire collateral or exit NECT positions in one transaction.

BeraBorrow by the numbers

$395 K+ Total Value Locked
$552 K+ NECT minted
14+ Collateral types
48 %+ Highest den APY

FAQ

What is BeraBorrow?

BeraBorrow is a decentralized borrowing protocol built on Berachain. It lets users deposit native assets as collateral inside "dens" and receive NECT, a USD-pegged stablecoin, in return. Think of it as a self-service credit line backed entirely by on-chain rules rather than a bank's discretion.

How do I start borrowing on BeraBorrow?

Connect a compatible Web3 wallet, choose a collateral type from the Borrow page, deposit your assets into a den, and mint NECT against them. The minimum collateral ratio depends on the asset — 105 % for stable collateral, up to 150 % for volatile LP tokens.

Is BeraBorrow safe and audited?

BeraBorrow's smart contracts have undergone third-party security audits. The protocol enforces on-chain collateral ratios and supports Recovery Mode, which activates automatically when system-wide collateral health falls below a defined threshold. No admin can override these rules.

What is NECT and how does it keep its peg?

NECT is the native stablecoin of BeraBorrow, soft-pegged to 1 USD. Its peg is maintained through over-collateralization requirements, a Stability Pool, and redemption mechanics — an approach similar to those pioneered by MakerDAO but adapted for Berachain's asset ecosystem.

Can I earn yield if I already hold NECT?

Yes. Deposit NECT into the Stability Pool to earn liquidation rewards and protocol incentives. APYs vary by pool and market conditions. You can also pair NECT with other stables in Kodiak LP positions, then use those LP tokens as collateral for another borrow — compounding your exposure. Check the Q&A page for a deeper walkthrough.

Why should I use BeraBorrow instead of a centralised lender?

BeraBorrow is non-custodial: your collateral sits in audited smart contracts, not a company's balance sheet. There are no KYC requirements, no withdrawal limits, and interest rates are set by governance parameters rather than a credit committee. Honestly, that alone is worth the learning curve for most DeFi users.

What happens if my collateral ratio drops too low?

If a den's collateral ratio falls below the MCR for that asset, it becomes eligible for liquidation. The Stability Pool absorbs the debt, and liquidators receive a portion of the collateral as a bonus. Keeping a buffer well above the MCR — especially for volatile assets — is standard practice. Visit the About page to understand how the team approaches protocol-level risk.