Introduction

In this guide, we're going to take a look at Kodiak on BeraChain & learn how to interact with the various dapps on the platform.


What is Kodiak?

Kodiak is the first fully integrated liquidity hub on Berachain, bringing together key elements to streamline token trading, liquidity management, and launch. Developed within Berachain’s Build-a-Bera accelerator, Kodiak provides comprehensive solutions for token launches, trading, and liquidity on Berachain.

• Kodiak DEX: A decentralized exchange offering non-custodial, capital-efficient trading and liquidity with both concentrated and full-range AMMs.

• Kodiak Islands: An automated liquidity manager designed for user-friendly liquidity provisioning through "set-and-forget" vaults for sustained deposits.

• Sweetened Islands: An incentive layer leveraging Berachain’s Proof-of-Liquidity (PoL) to reward liquidity providers sustainably for Kodiak Islands.

• Panda Factory: A no-code token deployment tool for permissionless token creation and liquidity setup, especially suited for new, volatile assets like memecoins.

Berachain's Proof-of-Liquidity (PoL)

Berachain is a high-performance, EVM-compatible Layer 1 blockchain with PoL, a unique consensus mechanism where governance tokens (BGT) are earned by providing liquidity rather than staking. This approach resolves the need to choose between staking for security and liquidity provision, ensuring growth in both.

Kodiak collaborates closely with Berachain’s native applications—BEX (the chain-owned DEX), Berps (perpetual futures), and Bend (lending)—complementing BEX's full-range AMM without offering concentrated liquidity directly. Kodiak’s Islands product is specifically designed to prevent exploitative farming within PoL, enhancing the ecosystem's liquidity stability.

Step 1

First, let's claim some test BERA from the official faucet: bartio.faucet.berachain.com

Insert your wallet address & press "Drip tokens".




Step 2

Now we have some test BERA, we can head over to: app.kodiak.finance/#/swap & connect wallet.

Here we can perform swaps between some other tokens on BeraChain.

First, do some swaps from BERA to KDK and vice versa.

Now we need to perform some swaps for STGUSDC & HONEY as we will need both of these tokens in the next step.





Step 3

Now let's explore "Islands".

Head over to: app.kodiak.finance/#/liquidity/islands & connect your wallet.

Select the STGUSDC-HONEY pool.


Now on the right-side you will see inputs for token quantities, input any available amount & press "Supply".

Approve & confirm transaction.


Now on the left-side you can see your deposits.





Step 4

Finally, let's leave some feedback about our testnet experience & submit our wallet address: docs.google.com/forms

Outro

That's all for this guide!

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Disclaimer: This guide is provided strictly for educational purposes and should not be considered financial advice. The content is designed to offer insights into various web3 topics & projects.

We do not recommend putting real money into random projects without conducting plenty of your own research first. It is crucial to make informed decisions based on your own understanding and risk tolerance.